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Crypto Community Reacts to MetaMask Updated Policy on Tax Obligations

Published 21/05/2023, 14:30
Crypto Community Reacts to MetaMask Updated Policy on Tax Obligations

  • MetaMask policy stirs the crypto community as it sparks fears for decentralization.
  • MetaMask stated that it reserves the right to withhold taxes where required.
  • A TEDx speaker argued MetaMask included the controversial line to satisfy Apple.

In a recent turn of events, MetaMask, one of the leading crypto wallets, announced a new update to its terms and policies that has stirred up a storm within the crypto community.

A tweet by a crypto enthusiast sparked concerns about the implications of MetaMask’s latest policy, suggesting that it may undermine decentralization while also imposing tax obligations on its users.

“Metamask new update in terms and policy will withhold your taxes; decentralization is dying,” the tweet read. It quickly grabbed the attention of crypto enthusiasts and industry insiders, leading to a closer examination of MetaMask’s updated terms and policies.

According to a screenshot the Twitter user shared, MetaMask is now responsible for identifying and paying taxes and other governmental fees on each party involved in the transactions and payments facilitated through its platform.

The crypto influencer had highlighted the part of the new policy which stated that MetaMask “reserves the right to withhold taxes where required.” Many people shared their views regarding the statement.

Karnn Bhandarii, a pro-crypto Tedx speaker, argued that MetaMask had included the controversial line to satisfy Apple store and some banking partners. While nothing that a DeFi wallet holder can be anyone, he asked a thought-provoking question: “Which country taxes are they gonna withhold?”

In his example:An American citizen working in the UK and has a business in Dubai with short trips to India. Which country gets the Taxes? DeFi will never die; in fact, it will grow more.

Notably, the company did not specify what countries or jurisdictions would be subject to the new policy; nonetheless, it would likely apply to users in countries with capital gains taxes on crypto transactions.

The post Crypto Community Reacts to MetaMask Updated Policy on Tax Obligations appeared first on Coin Edition.

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