On March 8th, Bitcoin (BTC) reached its historical maximum valuation and broke the $70 thousand barrier Dollars Americans (USD), once again making headlines worldwide. This increase occurs after almost two years at levels of up to $16 thousand USD, experts attribute it to the fact that the Securities and Exchange Commission of United States of America (SEC) approved BTC spot Exchange-Traded Funds (ETFs). These Bitcoin ETFs are publicly traded funds that follow the price of BTC, and their characteristic is that they are backed by BTC themselves, there are others in gold and various assets.
We can say that BTC is a virtual asset that looks like money in that it is a medium of exchange, it is called decentralized because it is not backed by any central bank, such as Bank of Mexico (BdeM)and has been presented as an alternative to Fiat currencies such as the USD, the peso, the euro or any other currency of a country.
Cryptocurrencies or cryptoassets (CRYPTOS), despite being used for the exchange of goods, have had slow regulation, more focused on limiting their use by world governments, since they do not have a central bank to support them and they are a virtual asset. , can be kept in wallets away from the “eye” of governments, lending themselves to money laundering.
In Mexico, there are various ATMs that allow the instant exchange of CRYPTOS for Mexican pesos (MXN). The little existing regulation is based on the Law to Regulate Financial Technology Institutions of 2021, which defines CRYPTOS as “digital assets based on encrypted codes, which are used as a means of payment or exchange and whose transfer is carried out through through electronic means.”
In their characteristics, 1) they do not have easy regulation by the financial authorities, so they have been implementing regulations so that companies that carry out the exchange between CRYPTOS and Fiat currencies (such as USD or MXN), which are the equivalent of “ Exchange Houses of the digital world” provide information to the authorities; 2) its transactions are irrevocable, so an error in a transfer cannot be claimed, not even if a crime is committed; 3) the price depends on external factors and is volatile, however the long-term trend has been of growth in value, it is far from the price of one thousand USD in January 2017; 4) the payment of the tax is not for exchange gain, the Taxpayer Defense Attorney's Office (PRODECON) has issued a study in which it indicates that the correct way to tax the gains obtained from the change in value is under “alienation of assets” , so a provisional payment of 20% of the profit obtained must be made.
CRYPTOS are here to stay, but before buying, I recommend that you investigate and do not invest in something you do not know, the price has had its ups and downs.
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