Is Cryptocurrency Legal?
Is Cryptocurrency Legal?
Is Cryptocurrency legal? This question has been on everyone’s lips over the past few years as digital currencies have grown in value. However, the reality is that until the US government starts regulating them like they do pharmaceuticals, currencies will continue to grow in both popularity and value. In this article we will look at whether or not Cryptocurrency is legal, but also how it should be handled in the future.
First off, if you are reading this then you are probably wondering, “Is Cryptocurrency legal?” And the answer to that question is yes. The only problem is that nobody has yet come up with a standard for regulating digital currency. This makes it a rather unique situation.
Let’s start though by describing what Cryptocurrency is. In general, it is a currency whose value is based on some concrete set of rules. However, the problem is that no set of rules has been put in place. This has left people with a huge open-ended question. Which is… Is Cryptocurrency legal under the law?
The reality is that there isn’t one specific law which applies to all situations. This is why each country has a slightly different approach. One country might allow Cryptocurrency to exist if it was only used for private personal transactions. Another country might have no restrictions at all on Cryptocurrency, but consider themselves the regulator. And then there is another group which would consider Cryptocurrency to be legal under all circumstances. These people usually fall under the first group mentioned above.
As it turns out, one of the first countries to really regulate Cryptocurrency was China. The government started by simply banning all banks from dealing with or holding Cryptocurrency. Shortly after that, other countries followed suit. Now, each country has its own take on Cryptocurrency. Each has a slightly different interpretation of the law.
However, even within the United States, there is a difference of opinion. While some people believe that it should not be legal, others believe that Cryptocurrency is completely legal. There are even some government agencies who are taking a look at the issue. So far, those opinions seem to vary across the board. Some government agencies have taken the position that Cryptocurrency is not real money, but a form of abstract computer currency. Others, such as the IRS and the Federal Bureau of Investigation, feel that it is something that needs to be regulated.
So what can we make of the question of “Is Cryptocurrency legal?” At this point, it seems that it is a complicated question. On one side of the issue, you have people who are completely in favor of it being legal, while on the other side, you have people who completely disagree. It appears that at this point, the answer lies somewhere in between.
One thing that we do know, however, is that at this point in time, things are moving pretty quickly with regards to this topic. Right now, because there are not really any laws in place to govern Cryptocurrency, there is a lot of room for entrepreneurs and developers to come up with creative ways to use it. It may even become commonplace on the Internet. In the end, we may have to simply watch and see which way the technology goes. Or we could follow the law, which seems to be where governments at the federal level tend to direct the technological development.
If Cryptocurrency did become something that was against the law, that would certainly be a big red flag for many. There have already been attempts to make money from it by those who were interested in doing so. However, it does not appear that this is something that is going to happen anytime soon. That would be unfortunate indeed. Who would want to watch the economy crash and then have to scramble to figure out how to get their money back into the US economy when the government accidentally legalizes something they never wanted to legalize in the first place?
Of course, if someone wanted to take advantage of the situation and start their own Cryptocurrency, they would also run into some problems. They would need to find a safe house to keep their money in. Of course, they would also need to ensure that all of their assets were secure. This would be a tricky situation, but it would also require some work on the individual’s part. It would certainly be much better to be legally permitted to use Cryptocurrency than it would be to start your own business from scratch with no capital to base it from.
In the end, the real question that you should be asking is “Is Cryptocurrency legal?” And if the answer is yes, then you might as well just jump on the bandwagon and start promoting it. Otherwise, you should read up on the basics and learn as much as you can before you jump in with both feet. That way, you would know that you are taking full advantage of the situation. Then, when the time comes for you to choose your Cryptocurrency of choice, you would know exactly which one to choose.