Coney_Croft on Nostr: Thoughts about exchanging Bitcoin the other day! Our government wants to charge you ...

Thoughts about exchanging Bitcoin the other day! Our government wants to charge you Capital Gains on Bitcoin transactions. You bought it originally with Fiat money’s you earned, and were already taxed on. You own it now. Then you want to use it to buy something or exchange it for something else. Say that you want to exchange it for another Crypto (God forbid). The Government likes to think of it as, you sold the Bitcoin for Fiat, and then purchased the other commodity with the Fiat. If you did that, then OK. I would say that you are using their monetary system that they maintain, and they have a right to charge you a rent of using it. But you did not do that. You operated completely outside of their monetary system to make the trade thru an exchange and in my mind then they have no right to charge you rent to use their system. You could have traded the Bitcoin for Services or Products with someone that wants Bitcoin in exchange. Then again you did not use their monetary system for these exchanges. What if you had 4 chairs, and you wanted a bed. What if you found somebody that wanted 4 chairs that had a bed that you wanted. If you were to trade that person your 4 chairs for that persons bed, would your government want to charge you a tax on that transaction. If you exchanged for Fiat money and then the bed maybe OK, but in the example above you operated completely outside of the their monetary system, and therefore the government should not be charging you rent to use their system in the form of taxes.