NFTs To Start Paying Taxes

NFTs are now being regulated in the same week that gaming companies have jumped on board.

President Joe Biden’s infrastructure bill has finally passed, and it appears that cryptocurrency will be regulated as one of the many topics it covers. Any crypto purchase over $10,000 must now be reported to the IRS, and NFTs and other digital assets will be treated as cash, ostensibly to avoid loopholes.

On Twitter, public accountant James Yochum breaks down the bill. If this analysis is correct, crypto brothers will no longer have the freedom they have had in the past saying that any business of making or reselling #NFTs, get used to filling out Form 8300 and obtaining social security numbers and proof of identity from their customers and that they have 15 days to report their information on Form 8300, and a violation of 6050i is a felony, because digital assets are now considered ‘cash.’

According to legend, a flame that burns twice as brightly burns half as long. NFTs started out as ugly little polluters, but they quickly evolved into even uglier ways to rip off artists and Neopets fans. The triple A gaming scene, of course, caught wind of it and dove headfirst into a practice that is often associated with deception and environmental damage but now that NFTs may be coming to an end – or at the very least, having their growth slowed – let us take a moment to appreciate their greatest hits.

There was that time when a $2.7 million NFT project went missing, leaving customers with nothing but ugly ape avatars. The money was spent on another project just five hours after it was launched. Finally, but certainly not least, someone paid $125,000 for an NSFW NFT of Twitch streamer Amouranth.

It remains to be seen whether the infrastructure bill will be sufficient for the “right clickers” to declare victory. But, in any case, JPEG fans are rabid on the internet, so we have that.