Some U.S. senators are trying to make it simpler for U.S. citizens to track taxes when buying or selling crypto with a new bill.
The bill, called the Virtual Currency Tax Fairness Act, would exempt citizens from reporting any transactions up to $50 or any trade less than $50, CoinDesk reported Tuesday (July 26). Sens. Patrick Toomey and Kyrsten Sinema are behind the bill.
Furthermore, the International Money Fund (IMF) said Tuesday that it doesn’t think crypto market collapses are indicative of dire danger for the global economy.
“Spillovers to the broader financial system have been limited so far,” the IMF said in its report. That said, the IMF noted that the world economy, facing record inflation and the specter of another recession just years after the last one, is still not doing well.
In other news, Bloomberg reported Tuesday that bitcoin has fallen below a one-week low as fears over Federal Reserve interest rate hikes continue to brew.
The coin dropped 6.2% on Tuesday, and it was trading at around $20,924 as of 10 a.m. in New York. The retreat has damaged the hopes of a recovery for the coin, which was seemingly doing better in recent days.
Additionally, The Central African Republic’s first digital coin sale was slow at first — only slightly more than 5% of the target amount was bought in the hours after its launch, Reuters wrote.
The Central African Republic is one of the poorest countries in the world and was the first African state to make bitcoin legal tender. This was considered an odd decision by experts, and the IMF said bitcoin shouldn’t be considered a “panacea” for the country’s ills.
Finally, crypto exchange Kraken, one of the world’s biggest, is under federal investigation for allegedly letting users in Iran buy and sell crypto — violating U.S. sanctions.
The New York Times wrote that Kraken could have run afoul of the O.F.A.C. Sanctions against Iran, which have been in place since 1979 and dictate that goods and services can’t be exported to that country.
Kraken has been under investigation by the Treasury Department’s Office of Foreign Assets Control since 2019, and the report noted there’s likely to be a fine involved.
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