What Does This Mean for Worldwide Activities?

Cryptocurrency will see regulation in the form of the IRS Cryptopayer Tax Identification Numbers (TCIN). The need for this form has arisen because some companies are making their own digital currencies and having them sent to customers as online poker chips, virtual online duffle bags, prepaid gift cards, and even “virtual” money. In order for the government to get hold of these digital transmissions, they need to be able to identify them as being legal tender. And the way to do that is to have a unique identification string called the TCIN.

The TCIN will enable government and law enforcement agencies to track down criminals and tax cheats who attempt to hide behind the anonymity of digital property. The idea is for cryptosporters to design digital properties that look like real estate, money, and other things that appear to have a legal tinge but are actually purchased and owned by the purchaser but in reality, are possessed by the seller. This will make it hard for would-be criminals and cheats, to hide their assets because the digital properties that they are using will be easily identifiable as being owned by someone else. The Cryptocurrency “umbrella” will also prevent ordinary consumers from being victimized by identity thieves who use digital property to buy expensive items such as electronics, sports cars, and other high-value goods. The aim of the IRS and other regulating bodies is to prevent the mass use of encrypted online casino 12Play poker chips and duffle bags.

One of the ways that the IRS will be able to accomplish this goal is through the implementation of a universal standard called the Multipoint Tax Identification Number (MTN). MTN will be assigned to each individual transaction made during a specified time frame, usually one year for most tax years. Each transaction will have its own unique identification code that is issued by a Multipoint Tax Identification Number Authority (MTIA). The MTO will then assign a unique Tax Identification Number to all future transactions between users of crypto coins.

This move is expected to drastically cut down on the number of jurisdictions that will open up their taxation laws to new types of encryption technology. Many foreign governments are currently applying cryptography to their national taxation systems, which poses a threat to both governments and tax evaders alike. In the past, many nations have issued cryptographic coins and paper money in an attempt to thwart efforts by criminal governments and tax evasion lawsuits. In the future, it is expected that all nations will apply this methodology universally, regardless of their political system.

Another facet of Crypto that will see tax regulation is through the creation of a standard template that can be used by all nations. The Cryptocurrency Forum states, “Cryptocurrency Users should expect to see regulation in the future that requires the creators and issuers of blockchains to designate a Unique Tax ID for each transaction that occurs on the network.” As time passes, the use of Cryptocurrency templates will reduce the number of jurisdictions that individuals will need to cross to be able to enjoy safe, secure, and private financial transactions over the internet. In addition to this, if the US becomes one of the few countries that decide to apply taxes to the transactions of Crypto, then individuals will no longer need to worry about traveling outside of the United States to enjoy safe and secure transactions over the internet. In fact, many experts anticipate that the use of this method worldwide will eliminate all necessities for traveling outside of the US in order to conduct financial business.

The use of Cryptocurrency templates by international organizations may also cause the elimination of internal taxes for the members of these associations. For example, the Swiss government recently introduced a new tax plan that will charge any entity that holds more than $1.9 million dollars in assets the Switzerland Income Tax. Even though this seems like a great idea for many people, it could turn out to be a huge disadvantage for many people who have large amounts of wealth in the Cryptocurrency market. Many people fear that the Swiss government will use its power to manipulate the currencies of other countries in an effort to gain wealth at the expense of individuals who hold lesser amounts of assets. Therefore, we will likely see more regulation for this new form of Cryptocurrency exchange and we will likely see more governments start regulating the use of Cryptocurrency for their citizens.

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