For the reason that legislation regulating the taxation of crypto capital good points was launched in Italy, one of many main doubts that has at all times circulated is whether or not the stablecoin DAI is fiscally related or not.
In reality, the legislation from this standpoint was not very clear, and the next European rules of MiCA had additional difficult the difficulty.
To inform the reality, there had been an official assertion from the Agenzia delle Entrate, however these statements wouldn’t have authorized worth, so the doubts remained.
Now they appear to have been definitively clarified.
The problem of the stablecoin DAI in Italy
To settle the matter as soon as and for all, the honorable Giulio Centemero has despatched an official letter to the Italian Minister of Financial system and Finance requesting express clarifications concerning the taxation of capital good points generated from gross sales of cryptocurrencies in stablecoin.
In reality, DAI (now additionally referred to as USDS) is in all respects a stablecoin pegged to the US greenback, although it isn’t collateralized in USD.
The query from Centemero particularly issues the trade of cryptocurrencies into stablecoins pegged to fiat currencies.
Specifically, it distinguishes between e-money token (EMT) and asset-referenced token, exactly as a result of the brand new European regulation identifies throughout the class of stablecoin the subcategory of e-money tokens.
The important thing level is that whereas it was already sure that swaps in e-money tokens had been fiscally related, it was not but fully clear if these in asset-referenced token had been as effectively.
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The response of the Ministro
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In his written response, the Minister explicitly states that the trade between cryptocurrencies and asset-referenced tokens “shouldn’t be fiscally related“.
The problem can due to this fact be stated to be clarified as soon as and for all.
The Minister additionally provides that the motivation behind this assertion is that asset-referenced tokens can’t be labeled as digital cash, and above all, they aren’t redeemable at nominal worth.
In reality, DAI tokens (or USDS) are issued by a decentralized finance protocol (MakerDAO, now Sky), and they aren’t redeemable at face worth. Their face worth is at all times artificially maintained at $1 due to particular algorithms, however it isn’t doable to return the tokens to the issuer in trade for USD.
As a substitute, collateralized stablecoins like USDT and USDC are redeemable at par in {dollars}, and in line with what the Italian Minister of Financial system and Finance says, this could be the principle discriminant.
In his writing he says:
“if the holder of the stablecoin doesn’t have the fitting to credit score at nominal worth towards the issuer, the doable trade of the identical with a cryptocurrency doesn’t represent a realization occasion”.
All this refers back to the legislation textual content, and particularly to article 67, paragraph 1, letter c-sexies), of the TUIR, the place it’s written that “The trade between crypto-assets with equal traits and capabilities doesn’t represent a fiscally related case”.
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The USDT challenge
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The problem of the fiscal relevance of DAI (USDS) in Italy is due to this fact to be thought-about closed.
Nonetheless, the difficulty of the fiscal relevance of USDT (Tether) stays open.
USDT falls into the class of USD-collateralized stablecoins that give the holder the fitting to credit score at face worth towards the issuer. In reality, anybody can return USDT to Tether, for instance by the Bitfinex trade which acts as the first market, receiving USD in return at par.
Nonetheless, the European regulation MiCA doesn’t embody it in e-money tokens, as a result of Tether shouldn’t be registered within the EU as an e-money (digital cash) issuer.
In different phrases, as of immediately in line with European rules, USDT can’t be thought-about digital cash, even whether it is immediately redeemable in fiat at par.
However, the query from the honorable Centemero was particularly devoted to asset-referenced tokens, and to not the fiscally related nature of USDT in Italy. At this level, it’ll presumably be needed to attend for an additional express pronouncement on the matter.
The on-chain collateralized stablecoin DAI
DAI (or USDS) is an algorithmic stablecoin.
That’s, though its market worth is at all times saved round $1, it isn’t collateralized in {dollars}, however in cryptocurrencies (particularly Bitcoin and Ethereum).
Exactly for that reason, the dangers of depeg are higher, though to be trustworthy, from 2021 to immediately, its market worth has by no means actually depegged from the US greenback.
Which means it isn’t advisable to carry DAI in the long run, as a result of the chance of depeg exists, however there aren’t any issues holding it within the medium/brief time period, so long as you don’t maintain it when the crypto markets crash.
Nonetheless, there’s a downside.
In reality, the brand new European regulation prohibits exchanges from offering EU customers with stablecoin companies that aren’t e-money tokens, and certainly using DAI has already been broadly restricted by many crypto exchanges.
In reality, ranging from April, in idea, all exchanges with customers residing within the EU should take away their entry to buying and selling pairs in DAI, which can due to this fact solely stay convertible into USDC, different licensed stablecoins, or fiat foreign money.
Due to this fact, those that need to proceed to have the ability to promote crypto in DAI within the EU might want to use decentralized exchanges.