El Salvador Won’t Levy Tax on Bitcoin Profits Earned by Foreign Investors
El Salvador is on the path to become the most upgraded country. During the first week of the ongoing month, the country announced Bitcoin as its official currency. However, the day was followed by a severe crash in Bitcoin. There were also a few technical setbacks in the implication of Bitcoin as a currency in the country.
Nevertheless, the currency improved, and so did the implication strategy. It has been over a week since the day digital currency went live. So far, the currency is performing well, and the reports are also favorable.
When El Salvador went live with Bitcoin, many marketers considered it to be a bad decision owing to the volatility of the coin. The El Salvador government is moving ahead, shutting up all trolls. Furthermore, they have cracked up an option to invite more foreign investments.
Given the contentious process he took to have Bitcoin recognized as legal tender, El Salvador’s President, Nayib Bukele, is seeking international investment to help grow the cryptocurrency market in his state.
The recent economic decision in El Salvador might be quite beneficial for bitcoiners, provided they are foreigners. International investors who profited from Bitcoin wouldn’t have to pay capital gains taxes, as Javier Argueta, legal adviser of Nayib Bukele, said in an interview with AFP.
The country is on the way to opening doors to the future. It looks like cryptocurrencies could be the future of finance. However, the reservation related to currencies isn’t going to fade anytime soon. The current hype related to crypto revolving around the financial sector is likely to stay for a long time.