The United States of America recently filed a Bill to establish a cease-state moratorium on passing any new legislation on the currency, as well as getting virtual currencies classed as traditional currencies.
- Virtual Currencies vs. Traditional Currencies
One of the strangest things about Bitcoin is it’s paradoxical nature of being both cryptic as well as futuristic, leaving the current state of affairs at odds with what to do with it. This new way of looking at the currency helps buy time by establishing a moratorium on the currency so that the appropriate financial systems can adjust.
Presently, the way the coin is being developed is quite rapid, and this new moratorium will also provide a means for the remaining cycle of Bitcoin mining that is taking place to start to peter down into smaller blocks. As the remaining reserves continue to be mined, and the world-wide system continues to evolve, it is now being formally recognized by the Congress as something they will have to address.
Some other considerations of the move will have an impact on residents of the USA who will have to report the currency as income for income tax purposes, which will have the new currency being moved from the property tax class to the currency class. Problems faced by the passing of this Bill will be defining what a “virtual currency” is.
BARTERING AND TIT-FOR TAT
A “Virtual Currency” can be points in a game, letters of exchange, information, any multimedia, or any other signalling information, that can be used in a barter system, which is initially what Bitcoin started out as. Many countries are going to remain firm and keep Bitcoin as a commodity, letting it be traded on the markets as a commodity, as well as a commodity for bartering, which is how Canada currently views the currency. My vote is to keep it in the realm of the barter system and let the market control its pricing, so that is stays as a free-form commodity that can help diverse the ownership pool of the other commodities on the market. This will allow for development of new and future commodities, which is really what everyone wants.
The U.S., known for being forefront on international financial matters is one of the first countries to lead the classification of virtual currencies as traditional currencies, which could have impacts for its global acceptance as a new universal currency.
U.S.A. Files Bitcoin Currency Bill