The Deputy Prime Minister of Singapore has tried to illuminate the country’s position on digital currencies concerning its illegal tax avoidance laws. Talking esrlier this week, Mr. Tharman Shanmugaratnam emphasized that Singapore’s financial controller won’t recognize digital forms of money and fiat monetary standards.
With Singapore progressively being viewed as a potential goal for digital currency, organizations looking to escape the regulatory vulnerability related with China, Singaporean authorities are confronting expanded examination in regards to the country’s juridical device relating to cryptographic forms of money.
Earlier this week, Singapore’s deputy prime minister and Chairman of the Monetary Authority of Singapore (MAS), Mr. Tharman Shanmugaratnam, looked to illuminate Singapore’s against tax evasion (AML) and countering the financing of fear based oppression laws (CFT) with respect to digital currency.“When it comes to money laundering or terrorism financing, Singapore’s laws do not make any distinction between transactions effected using fiat currency, virtual currency or other novel ways of transmitting value.”
Mr. Shanmugaratnam emphasized that the MAS, Singapore’s money related controller and national bank, won’t recognize exchanges led in fiat and digital money in trying to implement its AML/CTF laws, including that every single financial instituition will be liable to similar directions. The MAS administrator likewise expressed that The Commercial Affairs Department will be engaged to explore and arraign cases identifying with illegal tax avoidance or psychological oppressor or terrorist financing.
The MAS chairman, however, perceived that the regulation of virtual currency exchanges may posture challenges not related with checking fiat money circulations. .
Mr. Shanmugaratnam emphasized the pseudo-anonymous qualities of cryptocurrency, adding that the absence of a centralized clearing further complicates the challenge of regulating transactions executed using virtual currencies.
In order to mitigate said challenges, the MAS will seek to impose anti-money laundering and anti-terrorist financing requirements on intermediaries that exchange fiat for virtual currencies – such as exchanges and brokers. Singapore’s financial regulator is presently conducting public consultation relating to the proposed Payment Services Bill intended to empower MAS to have greater jurisdiction over cryptographic money exchanges and brokerages.
Mr. Shanmugaratnam’s remarks include an obvious change in the position of the MAS concerning the cryptographic forms of money, as the MAS administrator has already expressed that the MAS won’t look to manage virtual monetary standards, aside from when the exercises identifying with digital currencies directly fall under the juridical domain of the MAS. By contrast, Mr. Shanmugaratnam’s current explanation shows that the MAS is looking to extend its administrative order to more noteworthy screen organizations that change over fiat into cryptographic forms of money.
Is Toronto Next to Accept Bitcoin for Property Taxes?
Toronto is the biggest city of Canada with a population of more than 6 million. It’s also one of the leading global financial centers which makes it an attractive place for investors.
Bitcoin has emerged as the leading cryptocurrency in the world and attracted a lot of attention from financial investors. There are many crypto exchanges and investors in Toronto, which makes it an important destination for crypto startups and investors.
Recently, there has been a surge in usage of Bitcoin in the Real Estate world as lot of companies around the world are now accepting Bitcoin for buying and selling of properties. In April 2019, Innisfil, A town located in Ontario, at a distance of about 1 hour drive from Toronto, announced that they will accept Bitcoin for property taxes at the municipal level. In July this year, Richmond Hill announced that they are ready to accept Bitcoin as a payment method for property taxes.
Evan Kuhn, Co-Founder of a Toronto based crypto exchange Coinberry believes that integration of Bitcoin as a payment method for property taxes in Toronto can reduce cost, not only for tax payers, but for municipalities as well. Kuhn mentioned
“It doesn’t cost homeowners to use the service, and it costs the municipalities far less in processing fees”
“A credit card company charges a 3% fee,” he said. “Our fee is .5%, so that’s a lot more beneficial for the municipalities.”
He further explained the entire process to make it simple for the users and for the authorities. “When a resident makes a payment through our exchange, the company immediately converts the Bitcoin into Canadian Dollars and pays the relevant authority, so in basic concept this entire process works like a credit card system but with lower fee for both parties”
Morning Crypto Roundup
- Crypto market entered into a consolidation phase, with market cap at around $265 billion, market is currently trading in a range
- Bitcoin stays above $10,000
- Gray scale reported in a recent report that there are 7.1 million active Bitcoin users worldwide with more than 32 million Bitcoin wallets.
- After Innisfil and Richmond Hills, is Toronto next to explore an opportunity to pay property taxes through Bitcoin?
- According to a report from CryptoCompare.com, Untrusted crypto exchanges are dominating the crypto volume with more than 2/3 share