Mined Bitcoin Cash traded into Bitcoin on Riot Blockchain

Cryptocurrency investment company Riot Blockchain is not long on Bitcoin Cash, according to the Colorado-based firm’s 2017 financial results
27 April 2018   1380

The Nasdaq-listed firm, which declares that it had 3,500 Bitmain S9 miners expanded at a data center in Oklahoma City at the end of March and is going to have 8,000 running by the end of May, claimed that it “presently converts any Bitcoin Cash mined to Bitcoin on a regular basis.” In March, approximately 69 BTC and 44 BCH were earned by Riot Blockchain, that collectively worth about $670,000 at the moment of writing.

Riot Blockchain also possesses a 12.9% ownership share in Coinsquare, Canada-based cryptocurrency exchange, which recently gained a CAD $430 million assessment (~$335 million) and is aimed to list its stakes on the Toronto Stock Exchange this year. The firm lately acquired a controlling stake in Logical Brokerage Corp., a futures brokerage company that is registered with the Commodity Futures Trading Commission (CFTC) and is a member of the National Futures Association (NFA). Riot Blockchain has also claimed that it is “investigating” the opportunity of launching its own cryptocurrency exchange.

However, Riot Blockchain shares are trading well under the all-time high they set in mid-December, which has been observed with most cryptocurrency “proxy stocks.”

One reason for the fall is that the company may lose its spot on the Nasdaq, which would relegate its shares to over-the-counter (OTC) markets, that are much less liquid.

Nasdaq has threatened to delist Riot Blockchain’s shares for breaking the rules of the platform. The company has not managed to arrange its 2017 annual meeting of shareholders in a timely manner, which the firm says stems from difficulty achieving quorum. In the filing, Riot Blockchain announced it has scheduled an annual meeting for May 9 at its mining facility.

Israeli BTC Investors to Face Catch 22

They need to pay taxes from Bitcoin investing in order to avoid their property arrest, but banks don't take their money due to AML issues
06 August 2019   180

Bitcoin investors in Israel are faced with the impossibility of paying taxes, as local banks refuse to accept funds received from the sale of cryptocurrencies because of the risks of money laundering and terrorist financing. About this writes the local edition of Haaretz on August 6.

Bitcoin is not recognized as a currency in Israel, therefore, individuals must pay 25% of the income from cryptocurrency trading to the treasury, and legal entities - 47%.

Investor Ron Gross told the publication that he acquired bitcoins in 2011 and reported his income to the tax office. In 2017, the bank that served Gross began to refuse to accept funds received from the sale of bitcoins. The investor met with representatives of the bank to demonstrate to them a 70-page history of bitcoin transactions as confirmation of the origin of the funds, but failed to convince them.

The tax authority is aware of the problem, but they say the ball isn’t in their courts. I’ve tried working with almost all the banks, but the minute they hear the word ‘Bitcoin’ they freeze up.
 

Ron Gross

Bitcoin investor from Israel

 

Since Gross was unable to pay taxes on time, his bank account, home, and even scooters were arrested. According to the investor, the tax authorities know about the problem, but can do nothing.

According to Haaretz, the tax office is aware of $ 86 million in unpaid taxes on income from cryptocurrency trading. It is possible that the real amount may be significantly higher.

Roy Arav, another Bitcoin investor, kept the proceeds from trading Bitcoin in an account with Israeli bank Discount under the control of the Bit2C exchange. The bank refuses to transfer money to Arava’s personal account under the pretext that its politicians forbid it to transfer funds related to virtual assets to client accounts due to the risks of money laundering and terrorist financing.

Arav also could not pay taxes and was forced to sue the bank. According to the investor, the authorities entered his position and granted him a deferral of time for the consideration of the claim.