Will Ethereum Investors need to worry about "Geo-Graphical" Tax?
Ethereum’s ( ETH ) transition to a PoS (Proof-of-Stake) model, although historic, might create some tax implications for holders. To better understand, why an additional surprise tax is a real possibility, let’s go back to 2017 during the Bitcoin civil war. The Bitcoin war led to the creation of Bitcoin Cash (BCH). BTC holders received fresh BCH coins, which resulted in taxable income at the fair market value. Additionally, if any BCH holders later sold their coins, all profits or losses would be taxed as capital gains. Although there is no war between the two factions in Ethereum (PoW and PoS), things aren’t all that dandy. Some ETH miners might continue to support the PoW model. Moreover, ETH holders began receiving the new ETH W token, even if they did not want it. Now, there is a possibility that the airdropped tokens could have a tax obligation attached to them, just like BCH. Nonetheless, the tax implications might be different based on where a hold...