I did not think the future would come to this. In which governments are promoting to not self-custody your property. Under the U.S. tax law, Bitcoin is classified as property and subject to capital gains taxes by selling on “Bitcoin exchanges,” You can buy or sell using different currencies. The United States is only a few steps ahead in realizing the unique characteristics of Bitcoin being property and can be placed in self-custodial digital wallets. In other circumstances, the Canadian Government (CRA) views the selling of Bitcoin as an income source or “disposition of property.”
Fair Warnings from the community
In the Bitcoin community, there is a saying where they shout in the void network space of Reddit and Twitter, “Not your keys, not your coins.” Once you buy Bitcoin on a “Bitcoin exchange,” the Bitcoin remains on that exchange, meaning you have an IOU “I owe you." The business has a document acknowledging the existence of debt towards your purchase. That is why there is another saying in the Bitcoin community, “Don’t Trust, Verify!” It would be best to take your Bitcoin off exchanges and self-custody the Bitcoin because, as a Bank Run…
exchanges will eventually run out of Bitcoin, and you can no longer acquire the Bitcoin you bought.
Canadian response
Samson Mow, Blockstream’s CSO and Pixelmatic’s CEO, tweeted out in light of Canada's events placing economic sanctions on its citizens.
The government is not letting down on placing sanctions on its citizens. So, the CEO of Kraken FX, Jesse Powell, told everyone on Twitter that when the time came, they would have to abide by Canada’s regulation and freeze all accounts on Kraken.
It is by far the most government overreach I have seen from a first-world country. However, I expect to see this in Iran and third-world countries.
But as posted earlier this week. In the book, Anatomy of the state, the government has become a life of its own in protecting itself and trying to survive. These events remind me of The Matrix.
The most favorite movie for Bitcoiners is The Matrix, which displays the precise reason why Bitcoiners are fighting to fix the world.
Fix the Money, Fix the World - Bitcoin
Custodial Battle