The founder of the Cardano project hinted that the US tax system needed to go through a change because Short term profit may end up in loss and it should be on the capital gain tax.
Cardano is a popular crypto project in the crypto industry. Right now this crypto project stands in the top 10 list of the crypto industry and also it is known as a killer of the Ethereum blockchain network. However native token of the Cardano project is still facing criticism in the crypto industry because it is 30% down over the last three months.
Charles Hoskinson is the founder of the Cardano project. He always remains available in the Crypto industry to raise his voice against unfair things, whether it is against the Cardano project or the crypto industry.
On 2 January, Charles shared a meme. That meme contained a letter to the US Internal Revenue Service.
Through the shared meme, Charles tried to force the US government system to think about their taxation system on the crypto industry, which is directly based on the buy-sell price difference. Right now tax on the revenue on the crypto trader is around 10 to 37%, depending upon the earning through a buy-sell price difference & profit.
Rug pool scams
A meme shared by Charles contained a letter to the IRS from a crypto taxpayer.
Crypto Taxpayer explained that he made a huge profit through the staking and after that, he invested his whole earned profit and investment in the NFTitties. But project admins used the rug pull method and dragged all the funds and that end up in a 90% loss for that guy.
So here, Charles wants to see new rules in favour of the crypto Investors, where the tax system should not be part of the direct buy-sell price difference & profit but there should be capital gain tax with a better proper time frame.