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Offline lil_jay890

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Potential Legal Issues Trading bitGLD, BitWTI...
« on: October 01, 2014, 02:08:26 PM »

Hello, I'm fairly new to bitshares but i'm wondering if anyone has looked into trading bitgld and bitwti as a US Citizen.

I believe according to the Dodd-Frank law US citizens that are retail traders are unable to trade Gold or Crude oil.  Institutional traders and most international citizens do have that ability though.

Is bitsharesX a way to circumvent this rule?  Could the US government possibly step in and try to regulate this?

Offline feedthemcake

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Re: Potential Legal Issues Trading bitGLD, BitWTI...
« Reply #1 on: October 01, 2014, 02:11:48 PM »
I thought TITAN basically keeps my business personal and whether I trade bitGold or BitWhatever is hidden from view from everyone?

Offline maqifrnswa

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Re: Potential Legal Issues Trading bitGLD, BitWTI...
« Reply #2 on: October 01, 2014, 02:12:48 PM »
Hello, I'm fairly new to bitshares but i'm wondering if anyone has looked into trading bitgld and bitwti as a US Citizen.

I believe according to the Dodd-Frank law US citizens that are retail traders are unable to trade Gold or Crude oil.  Institutional traders and most international citizens do have that ability though.

Is bitsharesX a way to circumvent this rule?  Could the US government possibly step in and try to regulate this?


This is the general view as of now, until any other guidance comes from any regulatory agency:
you aren't trading gold; you're trading a crypotcurrency that has the value of gold. (no physical gold is assigned to any bitGLD, thus no trading of gold occurs).

as of now, it appears that standard cryptocurrency rules (both for taxes and fincen) apply, but nothing regulating the underlying assets applies to the cryptoassets that represents some value in the underlying asset.
« Last Edit: October 01, 2014, 02:14:45 PM by maqifrnswa »
maintains an Ubuntu PPA: https://launchpad.net/~showard314/+archive/ubuntu/bitshares [15% delegate] wallet_account_set_approval maqifrnswa true [50% delegate] wallet_account_set_approval delegate1.maqifrnswa true

Offline Markus

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Re: Potential Legal Issues Trading bitGLD, BitWTI...
« Reply #3 on: October 02, 2014, 01:09:28 PM »
Is bitsharesX a way to circumvent this rule?
Yes.

Quote
Could the US government possibly step in and try to regulate this?
Yes, with emphasis on "try".

 

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