United States
The
United States
has a mixed relationship with cryptocurrency. While it is not currently considered legal tender, the Internal Revenue Service (IRS) recognizes cryptocurrency as property for tax purposes. This means that transactions involving cryptocurrencies are subject to capital gains and income taxes. The Securities and Exchange Commission (SEC) also regulates cryptocurrencies as securities, which means that they must comply with federal securities laws.
In addition, some states have taken their own approaches to regulating cryptocurrencies. California, for example, has a state-licensed digital currency exchange, while New York requires businesses that deal with cryptocurrencies to obtain a BitLicense.
Canada
Canada
is one of the countries that has embraced cryptocurrency with open arms. In 2014, it became the first country in the world to adopt a national Bitcoin standard and legal tender. However, it is important to note that Canadian law does not treat all cryptocurrencies as legal tender – only those listed on the Canadian BitOasis Exchange are recognized as legal tender.
Canada
‘s regulatory framework for cryptocurrency is overseen by the Financial Transactions and Reports Analysis Centre of
Canada
(FINTRAC), which requires businesses that deal with cryptocurrencies to comply with anti-money laundering laws.
Australia
Like
Canada
,
Australia
has recognized some cryptocurrencies as legal tender. In 2017, the
Australia
n Taxation Office (ATO) announced that it would recognize Bitcoin as a form of payment for goods and services, making it one of the first countries in the world to do so. However, like other countries,
Australia
does not treat all cryptocurrencies as legal tender – only those listed on the
Australia
n Securities Exchange (ASX) are recognized as such.
Australia
‘s regulatory framework for cryptocurrency is overseen by the
Australia
n Securities and Investments Commission (ASIC), which requires businesses that deal with cryptocurrencies to comply with securities laws.
Japan
Japan
is one of the countries that has taken a proactive approach to regulating cryptocurrency. In 2017, it became the first country in the world to fully legalize Bitcoin as a form of payment for goods and services. However, like other countries,
Japan
does not treat all cryptocurrencies as legal tender – only those approved by the Financial Services Agency (FSA) are recognized as such.
Japan
‘s regulatory framework for cryptocurrency is overseen by the FSA, which requires businesses that deal with cryptocurrencies to comply with anti-money laundering laws and register with the agency if they plan to operate a cryptocurrency exchange in
Japan
Switzerland
Switzerland
has been recognized as a hub for cryptocurrency innovation and adoption. In 2014, it became one of the first countries to allow merchants to accept Bitcoin as payment for goods and services. However, like other countries,
Switzerland
does not treat all cryptocurrencies as legal tender – only those approved by the Swiss Federal Financial Supervisory Authority (FINMA) are recognized as such.
Switzerland
‘s regulatory framework for cryptocurrency is overseen by FINMA, which requires businesses that deal with cryptocurrencies to comply with anti-money laundering laws and register with the authority if they plan to operate a cryptocurrency exchange in
Switzerland
Summary
While many countries have begun to recognize and regulate cryptocurrencies, others still consider them illegal tender.
