Although the Mexican Tax Administration Service does not count on a precise regulation on crypto, taxpayers must report their earnings regularly.

Many cryptocurrency users have found a place to call home in Mexico. Through Localbitcoins, more than 11.6 million Mexican pesos (more than USD 580,000) or maybe more move through the Bitcoin exchange weekly.

In bitso, which is the largest and oldest exchange that operates in that country, there are more than 2 million cryptocurrency users who have made more than 27 million trading operations according to the same exchange.

Due to a lack of clarity of the Tax Administration Service, SAT, many users remain ignorant about the steps to pay their taxes.

Due to this situation, the Mexican media El Economista interviewed Juan Ignacio Rivero, a member of the College of Public Accountants of Mexico.

This accountant highlighted that although the tax authority is still unclear regarding cryptocurrencies, especially in the regulatory part, taxpayers have to report to the SAT, clarify and pay income on any income they generate, depending on the activity they carry out.

It is important to note that, according to the media, cryptocurrencies serve as an asset that can generate profit at the time of being sold, so when wanting to declare it before the SAT, the difference between the purchase value would have to be taxed and the sale value.

Rivero also said, “If a taxpayer buys 300 pesos of Bitcoin and, at the time of selling them, that amount becomes 500 pesos, the 200 pesos of profit that the user had will go as a tax. In the case of having a loss, users would not have to pay taxes”.

The tax specialist Elio Zurita Morales told the newspaper El Taxpayer that having the supporting documentation of the transactions is crucial to show the SAT how much value the cryptocurrency possessed at its purchase and how much it is for sale. Otherwise, the authority could presume that the total investment is income.

The Hodl is not a Reason for Taxation

Rivero also says that the hodl is not a reason for taxation: “You don’t necessarily have to face taxation anymore just for having them, you should be taxing when you have a real income. The profit gets taxed”. Regarding which regime to tax, Rivero explained that the control that best suits these transactions is the Disposal or Acquisition of Assets.

What Happens to Citizens Avoiding the Taxations

Zurita Morales, from the College of Public Accountants of Mexico, responded to the medium El Taxpayer about what happens with someone who does not declare taxes for having profits with crypto.

If the authority detects it, it will presume a fiscal discrepancy, that there is an income that avoided a declaration. So, citizens might become a creditor of sanctions, depending on the amounts, and depending on the situation.

Besides, Zurita explains that although the tax authority cannot see the amounts that a user would manage into a wallet, it has other ways to control income, such as purchases made by the user or their bank accounts taxable.

By: Jenson Nuñez

Cuba has not yet developed state policies on cryptocurrencies. The Communist Party has referred to Bitcoin as a candidate to “dethrone the US dollar.”

According to the Communist Party of Cuba (PCC), Bitcoin (BTC) will be part of their new economic guidelines for the 2021-2026 period. They advanced the information during their VIII Congress in Havana in recent weeks.

Mercedes López Acea, a member of the Political Bureau, the highest agency of the upper management of the PCC. According to the official, they will seek to “advance the study of cryptocurrencies in the current conditions of the economy.” As part of the new guidelines, Bitcoin would serve as an alternative to the economic crisis that the country is undergoing.

The Cuban Government Talks about the Future of Cryptocurrencies on the Island

There are no other details in this regard, but it could be a first step in the future use of cryptocurrencies in Cuba. The official newspaper Granma belongs to the only political party admitted on the island. In addition to cryptocurrencies, they reported the discussion of other “strategic issues for the nation’s progress.” They included “the model of economic management, investment policy, science, technology, innovation, their impact on society, and social policy.”

Until now, Cuba has not developed any State policy on crypto assets. However, the virtual communities of bitcoiners prove that the inhabitants of the Caribbean nation know them.

The Facebook group “Bitcoin Cuba”, founded in 2018, has almost 6,000 members. Users gather there seeking to buy and sell Bitcoin, mainly in person. There is also a group with the same name on Telegram, which has 3,500 members. Regrettably, among the posts of both communities, the disclosure of pyramid schemes involving the use of cryptocurrencies predominates.

The Popularity of Bitcoin Increases after the PCC’s VIII Congress

Besides, analytical data from Google shows that interest from Cubans in Bitcoin is growing. It even seems to have increased after the recent PCC congress. According to the Google Trends tool, searches for the term “Bitcoin” have reached a maximum point so far this year during the current week.

At least two exchanges in Cuba allow the sale of Bitcoin and other cryptocurrencies. There are also specialized remittance companies that use Bitcoin to send money to the island.

It is not the first time that the PCC has talked about Bitcoin. In 2014, the popularity of the first cryptocurrency was notably lower than it currently is. At the time, Granma published an article showing Bitcoin as a possible candidate to dethrone the US dollar as the main currency.

Also in 2019, the aforementioned newspaper said that cryptocurrencies were possible tools to “resist the economic siege.” Apart from that, they did not announce any official measures that include digital currencies.

Cuba’s economy has remained behind major development movements in recent decades. However, Cubans seem to be beginning to regain sovereignty over their finances and the power to acquire goods and services.

By Alexander Salazar

Satoshi Nakamoto always understood why he should withdraw from the Bitcoin ecosystem. Bitcoin benefits from this absence of leaders and influential figures.

People only know that Satoshi Nakamoto created Bitcoin, but his identity is not important for the pioneering cryptocurrency. Nakamoto could be a man, a woman, a child, an old man, a person, or a group of people. He could also be the CIA, the Federal Reserve, the Flying Spaghetti Monster, or even some kind of artificial intelligence.

There would inevitably be a point of centralization in the Bitcoin ecosystem if Nakamoto were around. Even if people did not see him often, it would be impossible to escape his influence. It would still be counterproductive for the development of Bitcoin to have an authority figure present.

It must be clear to users that Nakamoto himself was convinced of these risks. His absence communicates the idea of putting into practice the principles behind his creation. He said that traders would no longer rely on trusted third parties to transfer and exchange value through money.

Nakamoto Knew that His Identity Is Not Important for Bitcoin

When Nakamoto disappeared, he left no trace other than his sporadic posts on the Internet. This initially shocked those who had contacted Bitcoin’s creator, but he had to leave the protocol in its users’ hands.

Although the white paper only provides information of a technical nature, the reasons are evident.

However, the white paper is not the only referential source to understand Nakamoto’s thoughts. The website of the Nakamoto Institute, an organization seeking to preserve his memory, shows comments that Nakamoto made before disappearing.

His ideas on areas such as economics, politics, and computing give clues about the reasons for his absence from the project once he created it. The article with which Nakamoto introduced the white paper shows an argument against the fiat monetary system and centralized banking.

He seemed to know that he would possibly influence Bitcoin’s fate negatively by being the leader of the project. He thought that the existence of a trusted third party ensuring the integrity of the protocol would inevitably bring negative consequences.

What a Bitcoin User Could Do with this Information

Starting from the premise of not even trusting Nakamoto as an authority, it is valid to recognize that everyone chooses not to trust third parties. The creator of Bitcoin and its users would agree on this, as a minimum common framework of understanding.

It is not relevant to know who Nakamoto is, but his absence is saying something. His silence is louder than anything that anyone considering himself a protagonist of the Bitcoin ecosystem could say. Bitcoin does not need a guardian as users themselves con play this role.

Users verify the code, denounce bad practices, provide suggestions, and share ideas. They use Bitcoin the way they consider convenient without trying to label it or condition what it should be.

By Alexander Salazar

A campaign that emerged on social networks seeks to promote the adoption of Dogecoin. The world leaders in the search for “Dogecoin” on Google are the United States, Turkey, and Canada.

According to analytical data from the Internet search engine Google, interest in the Dogecoin (DOGE) cryptocurrency has reached an all-time high.

Searches were on the rise for a week and recently increased during the so-called “Dogeday.” This initiative emerged on social networks to promote the adoption of the meme cryptocurrency.

Internet users in the United States lead the search for “Dogecoin”, preceding those in Turkey, Canada, and Nigeria, according to Google. Taking into account only Spanish-speaking countries, Venezuela leads the ranking, preceding Spain and Mexico.

In places like Argentina, hashtags like #dogeday420 and #dogeday2021 were among the search trends on Twitter. Several posts alluding to “Dogeday” also appeared on the social network Reddit.

Those posts include memes, links to tutorials, and wishful thinking about what price DOGE could reach. Additionally, there are numerous messages of thanks and references to Tesla CEO Elon Musk for frequently promoting this cryptocurrency on Twitter.

The aforementioned posts show the longing of many dogecoiners to see their favorite cryptocurrency reach USD 1 per unit. That could only happen if its price multiplied more than 3 times. At the time of writing this article, each DOGE is trading at around USD 0.30.

Such a big bullish move would not be uncommon as it has gone from USD 0.005 to an all-time high of USD 0.43 so far this year. In other words, its price increased 86 times in less than 5 months.

The Price of Dogecoin Could Be a “Bursting Bubble”

Cardano founder Charles Hoskinson is among those who predict a negative future for this cryptocurrency. This 33-year-old mathematician firmly believes that the price of Dogecoin is a bubble waiting to burst.

Hoskinson also predicts that the bursting of the bubble will cause massive losses of money, particularly among retail investors. He believes that, when this happens, financial regulators will seek to increase their interference in the cryptocurrency industry.

Contrary to this theory, followers of the cryptocurrency meme mention that a growing number of businesses are accepting it as a form of payment. Among those who have recently incorporated it is Newegg, a well-known American hardware retailer. This company, which has accepted payments in Bitcoin (BTC) since 2014, recently incorporated Dogecoin.

The NBA team Dallas Mavericks also began receiving payments in DOGE, both for ticket sales and merchandising.

The creators of Dogecoin, Jackson Palmer and Billy Markus, possibly never imagined that their development would have such a big Dogeseason. In 2013, they launched this crypto asset to make fun of the cryptocurrency industry, which was beginning to swarm with altcoins having few fundamentals.

The Dogecoin code is a Litecoin hard fork, which in turn arose from a Bitcoin hard fork. The differences in monetary policy, security, mining network support and development between Dogecoin, and Bitcoin are considerable. Regarding the meme cryptocurrency, Hoskinson said that “there is no stable development team and no original technology behind it.”

By Alexander Salazar