This Wednesday, at the end of the day, this figure “fell” to 86,287.8790 dollars, which is still much more than the 65,185 dollars of November 5, just before the American presidential election. This surge can be explained by Trump’s more favorable approach to cryptocurrencies, which promises to deregulate this sector, the complete opposite of the approach of current President Joe Biden. “Trump’s pro-crypto stance and bold promise to make the US the ‘bitcoin and cryptocurrency capital of the world’ have injected new fuel into the digital currency frenzy“, pointed out Stephen Innes of SPI Asset Management.
Bitcoin continues to soar and crosses a new historic threshold
For her part, Susannah Streeter, head of money and markets at Hargreaves Lansdown, believes, in an analysis on the specialist site Zone Bourse, that “bitcoin speculators are betting on a more lenient regulatory environment and expect authorities to create a reserve fund for cryptocurrencies, which would help boost demand“.
But what should we expect in Belgium or Europe? According to Raoul Ullens, co-founder of Brussels Blockchain Week and cryptocurrency consultant, our continent must jump on the bandwagon. “It’s time we wake up”, says the expert to our colleagues at La Libre. “The United States gave us time in recent years because they had not created a favorable climate. They haven’t created a particularly more interesting place than Europe. But that will change. And so what does that mean? This means that great companies risk relocating, or that if we don’t move, the United States will create all the champions of tomorrow, as they did with the internet. And then we, Europeans, we risk to be left with the crumbs.”
To achieve this, it seems necessary to create a favorable climate and clear legislation,”by providing more clarity in relation to new regulations, particularly at the Belgian level. We must make companies want to develop their activities in Belgium and in Europe.”
Driven by the “Trump effect”, bitcoin is close to the $90,000 mark
We can also wonder what will happen to Belgian investors in cryptocurrencies and bitcoin. Currently, Belgian tax legislation is based on three scenarios, in terms of tax. First there are those who benefit from tax exemption, “if the investment in bitcoins is considered to be part of normal private wealth management, the capital gains may be exempt from tax“, indicates Test-Achats.
A tax that climbs to 33%,”whether capital gains on bitcoins are considered miscellaneous income because the tax authorities consider the investment to be speculative. They must be declared in part 2 of the income tax return (Frame XV, code 1 440/2 440)“.
Finally, this rate rises to 50%, “whether investing in bitcoins is considered a professional activity“.
