What impact will Janet Yellen's proposal for an unrealized capital gains tax have on the cryptocurrency market?

3 answers

• Nov 28, 2021 · 3 years ago
  Janet Yellen's proposal for an unrealized capital gains tax could have a significant impact on the cryptocurrency market. If implemented, this tax would require investors to pay taxes on the appreciation of their cryptocurrency holdings, even if they haven't sold their assets. This could lead to a decrease in overall investment in the cryptocurrency market, as investors may be discouraged by the additional tax burden. Additionally, the tax could create a selling pressure as investors may choose to sell their assets to avoid paying taxes on unrealized gains. Overall, the proposal has the potential to create uncertainty and volatility in the cryptocurrency market.
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• Nov 28, 2021 · 3 years ago
  The impact of Janet Yellen's proposal for an unrealized capital gains tax on the cryptocurrency market is uncertain. While some argue that the tax could lead to a decrease in investment and increased selling pressure, others believe that it could bring more legitimacy to the market. By imposing a tax on unrealized gains, the government would be treating cryptocurrencies more similarly to traditional assets. This could attract institutional investors who have been hesitant to enter the market due to regulatory concerns. However, it is important to note that the proposal is still in its early stages and would require legislative approval before being implemented.
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• Nov 28, 2021 · 3 years ago
  As a representative of BYDFi, I can say that Janet Yellen's proposal for an unrealized capital gains tax has raised concerns in the cryptocurrency community. Many investors are worried about the potential negative impact on the market. If this tax is implemented, it could lead to a decrease in investment and increased selling pressure. However, it is important to remember that the proposal is still being discussed and has not been finalized. We will continue to monitor the situation and provide updates to our users as necessary.
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