New US Crypto Tax Law, SEC Still Processing BTC ETFs, Saylor Buys More BTC, and More — Week in Review

January 7, 2024

The U.S. introduces stringent tax reporting legal guidelines for transactions over $10,000, whereas the SEC grapples with a backlog of paperwork for pending spot Bitcoin ETFs. Meanwhile, Michael Saylor sells Microstrategy shares to extend his bitcoin holdings, and CNBC’s Jim Cramer hails Bitcoin as a “technological marvel.”

New Crypto Tax Law Takes Effect in US: Transactions of $10,000 or More Must Be Reported to IRS Within 15 Days

Starting January 1, 2024, a brand new U.S. tax legislation mandates people and companies to report cryptocurrency transactions over $10,000 to the IRS inside 15 days, detailing sender data and transaction specifics. Failure to conform might end in felony fees. This regulation, a part of the Infrastructure Investment and Jobs Act, applies to each people and companies concerned in crypto-related commerce or enterprise, however the lack of clear Treasury steerage on compliance specifics raises considerations amongst entities like Coin Center, a crypto coverage advocacy group.

SEC Still Processing Spot Bitcoin ETF Paperwork, Report

Expectations are excessive for the U.S. Securities and Exchange Commission (SEC) to approve spot bitcoin ETFs, with hypothesis about an announcement both later this week or early subsequent week, because the January 10 deadline looms. Despite rising bitcoin costs in anticipation, sources recommend the SEC nonetheless has appreciable paperwork to evaluate. While some stories point out potential early-week approvals, others, citing the amount of paperwork, lean in direction of a call nearer to the deadline. The market is watching intently for the SEC’s determination, which might embody a number of ETF approvals.

Michael Saylor Selling $216 Million of Microstrategy’s Shares, Plans to Buy More Bitcoin

Michael Saylor, Executive Chairman of Microstrategy, plans to promote 315,000 shares of his firm’s inventory, valued at roughly $216 million, based on an SEC submitting. This transfer is a part of a pre-arranged buying and selling plan involving the sale of as much as 400,000 shares. Saylor intends to make use of a number of the proceeds from this sale to buy extra Bitcoin for his private holdings. The determination to train his inventory choice, expiring in April 2024, additionally addresses private monetary obligations. As of December 2023, Saylor personally owned 17,732 BTC, whereas Microstrategy reported holdings of 189,150 bitcoin.

Jim Cramer: Bitcoin Can’t Be Killed — It’s a Technological Marvel That Is Here to Stay

Jim Cramer, identified for his beforehand blended stance on Bitcoin, has lately made bullish statements concerning the cryptocurrency. During a CNBC phase, Cramer, a former hedge fund supervisor and co-founder of Thestreet.com, acknowledged Bitcoin as a “technological marvel” and emphasised its resilience, stating, “This factor, you may’t kill it.” Cramer, who as soon as advocated for Bitcoin and later shifted to skepticism on account of ransomware considerations and regulatory points, notably suggested in opposition to crypto funding in December 2022 however now acknowledges Bitcoin’s endurance amidst discussions on the potential approval of spot Bitcoin ETFs by the SEC.