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Learn a little more about virtual currency with Damecoins

July 21, 2018

A virtual currency or virtual money has been defined in 2012 by the European Central Bank as “a type of unregulated digital money, which is issued and generally controlled by its developers, and used and accepted among the members of a certain virtual community” The Financial Crimes Enforcement Network (FinCEN), a US Treasury office, defines virtual currency in its guide, published in 2013. In 2014, the European Banking Authority defines virtual currency as “a digital representation of value, which it is not issued by a central bank or a public authority, nor necessarily connected to fiat money, but is accepted by natural or legal persons as a means of payment and can be transferred, stored or exchanged electronically”

In 2012, the European Central Bank defines virtual currency as “a type of unregulated digital money, which is issued and generally controlled by its developers, and used and accepted among members of a certain virtual community.”

In 2013, the Financial Crimes Enforcement Network (FinCEN), an office of the US Treasury, in contrast to its regulations, defines the currency as “money in currency and paper money from the United States or any other country that [i] is designated as legal tender and that [ii] circulates and [iii] is routinely used and accepted as a medium of exchange in the issuing country “, also called” real currency “by FinCEN, defines the virtual currency as “A medium of exchange that works like a currency in some environments, but does not have all the attributes of the real currency.” In conclusion, the virtual currency has no legal course in any jurisdiction.

In 2014, the European Banking Authority defines virtual currency as “a digital representation of value, which is not issued by a central bank or a public authority, nor necessarily connected to fiat money, but is accepted by natural or legal persons as a means of payment and can be transferred, stored or exchanged electronically ”

The attributes of a real currency, as defined in 2011 in the Code of Federal Regulations, such as the role of real money and real currencies are those that simply act as legal tender and circulate “regularly”

The IRS decided, in March 2014, to treat bitcoin and other virtual currencies as property for tax purposes, not as currency.1213 Some have suggested that this makes bitcoins not fungible, that is, a bitcoin is not identical to another bitcoin, unlike a gallon of

Crude oil is identical to other gallons of crude oil making Bitcoin unfeasible as currency.14 Others have pointed out that a measure such as accounting based on the average cost would restore the fungibility of the currency.