Venezuelans reportedly hit by new Bitcoin tax of up to 20%
Bitcoin adoption has been on the rise in Venezuela in recent years amid hyperinflation and the national currency crisis. The Venezuelan government has approved a new tax bill aiming to collect up to 20% in taxes from cryptocurrency transactions, according to local reports.Venezuela’s National Assembly held the second discussion session on Thursday for a new draft bill targeting taxes on “large financial transactions” in cryptocurrencies like Bitcoin (BTC).The Venezuelan government reportedly approved the draft bill last Thursday, requiring local firms and individuals to pay up to 20% for....
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The weakening bolivar and strict capital controls have forced Venezuelans to use bitcoin in their everyday life. Bitcoin has already been recognized as the best performing currency of 2016. The digital currency’s price has been exhibiting a positive trend over the year. The decentralized nature of Bitcoin makes it immune to conventional market forces, which in turn makes it the best alternative currency in the world. This very feature of Bitcoin is now coming handy to countless Venezuelans who are currently going through the worst economic phase in the country’s history. The problem....
The president of Venezuela, Nicolas Maduro, approved a minimum wage raise increase last week that took it to three dollars monthly, a very low income for the citizens of the country that are facing a strong economic crisis since 2013. However, the crypto environment has been growing, and now Venezuelans are flocking to exchanges like Binance and Localbitcoins, platforms that are now serving thousands of Venezuelan users monthly with their peer-to-peer offerings destined to preserve the value of their money. Venezuela’s Minimum Wage Raised to $3 Monthly Earlier this week. Nicolas....
Venezuela’s national currency Bolivar Fuerte is rapidly losing value amidst hyperinflation. The official FX value of the Venezuelan bolivar is $1 to 9.95 VEF but in actuality, in the country’s black market, local residents are paying around 5,000 VEF for $1. To avoid the devaluation of bolivar and acquire necessary daily goods, Venezuelans have started to rely on Bitcoin to finance their expenditures. By local exchange rates, 100 bolivar is equivalent to $0.02. The country’s highest denomination banknote was 100 bolivar, but the government demonetized it earlier this week. As a result, the....
An unofficial referendum pursued by the Venezuelan opposition leader Juan Guaidó took place over the weekend in Venezuela powered by a blockchain platform, while at the same time, parliamentary elections called by the president Nicolás Maduro also had its scenario in a widely criticized, qualified by many countries as a “fraud.” Venezuela’s Guaidó Orchestrated Parallel Referendum via Blockchain Platform According to Spanish media outlet ABC, over 6.5 million Venezuelans cast their votes via Voatz, a U.S. blockchain-powered platform used for....
The country’s foreign currency policy has been restricting exchanges for several years now, and since then the only legal method for Venezuelans to get US dollars is through a government agency. Venezuelans can have loads and loads of bolivars (the national currency) and still be unable to buy the sorts of goods that many in the developed world take for granted. Currency controls imposed by the former President Hugo Chavez more than a decade ago and maintained by his successor Nicolas Maduro, make it difficult for citizens to exchange bolivars for US dollars and other foreign currencies.....