Classic Howey Test – Clarity on Air Drops – Malaysian Finance Ministry on Digital Assets – North Korea Cyber Security Capabilities

By Maheen Hernandez October 12, 2019 Off
digital assets howey test

The CFTC Chairman recently stated, it has been a trend for similar assets to be treated similarly.  Therefore, it is only fair to treat the forked asset as the original asset was treated.  If the original asset was determined to be a security and, therefore, a commodity, then the forked asset should as well be treated as the same.  This can be changed only when the fork raises security issues per the Classic Howey’s Test.

Whether anyone is holding TCAT tokens, Stellar Lumens, EOS, Ether, or Bitcoin, there should be no concern for them when it comes to paying their taxes as the IRS has issued their first guidance about cryptocurrencies in 5 years.  The new tax guidance is not very complicated.  Nothing is shocking or unique either.  Anyone with an understanding of capital gains and about how properties are taxed should grasp the new concepts pretty quick.

More clarity is, however, needed about how to treat airdrops per a few crypto experts.

The Malaysian Finance Ministry has stated that both global and domestic adoption of cryptocurrencies is low.  This, they have stated no considering the significant attention the cryptocurrencies have gained from the economic sector across different classes of investors.

One of the reports in this regard stated that depending upon the outcome of the usage of this cryptocurrency; these digital assets might evolve to become a part of the wide economy.  The Ministry has stressed the importance of global authorities to come up with appropriate measures to take the issues raised by digital assets, reinstating the need to monitor the sector at a closer level.

North Korea has only two internet connections.  Most of the North Korean hackers practice their skills from Europe and China, where they have an internet connection.

Seungjoo Kim, a professor at Korea University’s Graduate School of Information Security, stated, “North Korea practices their craft under real conditions, like hacking cryptocurrency sites or stealing information,” further said, “These repeated exercises help to improve their skills.” North Koreans are developing their cybersecurity capabilities at par with their other developments like nuclear, chemical, and biological weaponry.

Amir Taaki, the Kurdish YPG militia member, stated, “There needs to be a change on a big scale for cryptocurrency to realize its big potential. … We have to train not just hackers, but leaders.”