UK tax agency cracks down on rules around DeFi lending and staking
“HMRC treats crypto assets as property for tax purposes. However, this is inconsistent with the approach currently being adopted by Government and other regulatory bodies in the UK," said the executive director of CryptoUK Ian Taylor Her Majesty’s Revenue and Customs (HMRC), the U.K.’s tax agency, on Wednesday, has released a controversial set of guidance that could affect innovation in Decentralized Finance (DeFi).The updated regulation focuses on the treatment of digital assets specifically for DeFi lending and staking in the UK, and whether returns or rewards from these services are....
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The Chinese government has drafted rules to limit P2P lending in an effort to clean up the online financial sector. China’s central bank has drafted a plan following a video conference organized by the State Council, the cabinet, in mid-April with 14 regulators and ministries. The State Council approved the plan. The plan, viewed by Reuters, establishes stricter rules for P2P platforms. P2P lending quadrupled to 440 billion yuan ($67 billion) last year, according to Citigroup research. The rules prohibit lenders from holding clients’ capital in-house. Funds must be deposited with an....
Yearn Finance Connect is a decentralized token under the ERC-20 protocol, that allows users to stake YFIC, borrow assets, and vote for improvements within the community. Yearn Finance Connect staking platform enables investors to earn a yield on YFIC token, depositing, and selecting the amount you want to stake, you will get an APR of 25%, and it can be unlocked anytime, and you will get FYICS Token reward also. Borrowers can borrow in an overcollateralized (perpetually) way, selecting USDT (Tether), Ethereum (ETH), or DAI. Yield Farming – Users will still be able to farm for the new....
DeFi token prices leave a lot to be desired, but the sector’s real benefit is the lending and liquid staking options, not the price of useless governance tokens. The decentralized finance (DeFi) sector has been sitting in the backseat since whipping up a frenzy in the summer of 2020 through the first quarter of 2021. Currently, investors are debating whether the crypto sector is in a bull or bear market, meaning, it’s a good time to check in on the state of DeFi and identify which protocols might be setting new trends.Here’s a look at the top-ranking DeFi protocols and a review of the....
Germany’s Finance Ministry has released new cryptocurrency tax guidelines with no tax payable on gains from BTC and ETH sold 12 months after acquisition. The Federal Ministry of Finance (BaFin) published a 24-page document on Tuesday outlining clear income tax rules for cryptocurrency and virtual assets. Tax practitioners, businesses and individual taxpayers now have clear direction on the tax requirements for acquiring, trading and selling cryptocurrencies.The key takeaway is that individuals who sell BTC or ETH more than 12 months after acquisition will not be liable for taxes on the....
These new regulations will also have an impact on Bitcoin in China. Since cryptocurrency does not fall under these regulations, it may become the new peer-to-peer lending option. Peer-to-peer lending has always been a very popular trend in China. That is not entirely surprising, as the country is keen on innovation and embracing new trends. But there have been a fair amount of problems with P2P lending in China over the past few months. New rules have been announced, which will put a vice grip on this innovative business model. At its core, any peer-to-peer service should not shut down....