Tag: cryptocurrency

After over a decade of Bitcoin, which has now moved beyond lore and hype into an increasingly robust star in the firmament of global assets, a new and more important question has arisen. What happens beyond Bitcoin? 

The pandemic accelerated an existing trend toward widely distributed workforces, set in motion by growing globalisation and digitalisation. This creates a number of challenges for companies in terms of managing these dispersed employees.

The cryptocurrency market has grown exponentially over the past few years as people seek to ‘strike gold’ by investing in the latest virtual ‘coin’. What most don’t know, however, is that this digital currency also has a smart contractual capacity that can bind users to a cause or indicate commitment to work alongside other investors to achieve a common goal.

Investors need to consider cyber preparedness in their investment decisions. Today, 100% of companies rely on the internet to operate, compared to the one-in-four 10 years ago, according to a study from Accenture.

The world has a serious problem that puts the digital era in harm's way. Numerous South African businesses have fallen prey to a new ransomware attack, joining many more globally.

From 2022, the global financial reporting agenda is set to change. This change comes as the global standard-setter, the International Accounting Standards Board (IASB), is embarking on its third agenda consultation. Much like the changes which were brought about by the second agenda consultation, the new global financial reporting agenda may result in a significant impact on how some transactions are accounted for and thereby impacting companies in various ways.

Cryptocurrencies such as bitcoin are unlikely to become commonplace as tender for mergers and acquisitions. Increasingly, sellers want hard cash and are not opened to listed shares as a medium of exchange never mind bitcoin.

It has been more than three years since SARS’s media statement on cryptocurrencies. In this statement, SARS said that it would apply 'normal income tax rules' to cryptocurrencies when assessing whether a gain is revenue or capital in nature, and that crypto assets are not seen as currency for income tax purposes.

Cryptocurrency has heralded a new dawn of investment, and regulators worldwide have been sluggish to respond. However, it is now firmly on the tax radar for revenue authorities globally; and the South African Revenue Service (SARS) position seems to be no different.

The infamous case of South Africa’s Mirror Trading International (MTI) has been crowned as the world’s largest cryptocurrency Ponzi scam. A total of around $589 million was lost, affecting hundreds and thousands of investors, according Chainanalysis’ 2020 Crypto Crime Report.