Global Currency Like BTC to Face Issues - Payoneer CEO

Scott mentioned two factors that would make non fiat world reality
29 December 2018   700

Scott Galit, CEO of Payoneer, payment processing service from New York, said that single global, non-fiat currency such as Bitcoin (BTC) is unrealistic. This is reported by Cointelegraph. 

Payoneer is a financial services firm that provides cross-border money payment support for companies and professionals across 200 countries.

Central bankers are there to actually help manage economies and provide a kind of stewardship for for those economies [...] Part of that is actually managing currency in the interest rates [for lending] and in exchange rates. If you don’t actually have any control over a currency you’ve lost one of the major policy tools that you have, so what do you do?

Scott Galit

CEO, Payoneer

Scott mentioned two factors, that would make non fiat world reality -  the opposition of national governments and the concerns of central banks, with a focus primarily on the United States context.

Governments won't allow residents to pay taxes in such volatile currency as Bitcoin, Galit believes

Scott believes that if fiat currency was so volative as crypto, it couldn't been used by governments, they won't be able to meet their financial obligations and fund civilian servises

In United States, CNBC says, some local state governments become less happy about crypto usage. Ohio became fist to allow to pay some taxes using BTC, but it should be converted to USD with Ohio Crypto state-owned webstite.

Bitcoin to be an Asset, - Israeli Court

Judge Sh. Bornstein ruled that BTC is an asset, not a currency in a legal disput between trader and local tax authority, which wants him to pay $830k profit tax
22 May 2019   78

The central district court in Israel in the framework of the case of the founder of the blockchain-startup against the tax service identified Bitcoin as an asset subject to capital gains taxes, Globes reports.

So, in 2011, the creator of DAV.Network, Noam Kopel, acquired bitcoins, which he sold two years later, making a profit of 8.89 million new Israeli shekels ($ 2.29 million). Then Kopel entered a legal dispute with the tax service over the nature of the first cryptocurrency: he believes that it is a foreign currency, and the authorities insist that it is an asset.

Judge Shmuel Bornstein stressed that Bitcoin may cease to exist and lose to another digital currency, therefore, it cannot be considered a currency, especially in a tax context.

Thus, the court ordered Kopel to pay taxes in the amount of $ 830,600, as well as legal costs of $ 8,306. However, the defendant may still appeal to the Supreme Court.

Back in December last year, the Israeli tax service announced that it intends to fight with deviationists from the cryptocurrency sphere. Cryptocurrency holders in the country are subject to capital gains taxes (25-30%).