France is under pressure to fix a loophole in upcoming crypto legislation that would give an extended grace period to encourage digital asset businesses to set up shop in the nation with less regulatory monitoring.

Hervé Maurey, a member of the Senate's key finance committee, has offered an amendment to legislation that would remove a provision allowing registered crypto firms to operate in the country without a complete regulatory licence until 2026.

His action puts more pressure on the French Government and regulators over the country's crypto-friendly posture. More rigid EU standards will take effect in 2024, but France plans to keep its existing framework in place for another 18 months.

Critics' fears have grown this year as the values of popular tokens have plummeted, worsened by the collapse of  [Sam Bankman Fried's cryptocurrency enterprise, FTX,](/news/article/ftx-boss-denied-bail-in-bahamas) last month. On Tuesday, US authorities charged Bankman-Fried with crimes, including fraud.

## France crypto position

France has attempted to position itself as one of the most appealing nations for crypto businesses to set up their office, bringing companies such as exchange operator Binance to Paris.

The existing approach permits crypto firms to register in the country without obtaining a full licence, allowing them to operate with limited oversight.

## France crypto firms need to get a licence from regulator

Hervé Maurey’s plan would require corporations to get a licence from the French regulator, the [Autorité des Marchés Financiers (AMF)](https://www.amf-france.org/en), beginning in October next year. Licencing, as opposed to registration, protects consumers and forces corporations to reveal more information about their financial health and control mechanisms. There are more than 50 cryptocurrency firms registered, but none have been awarded a licence.

According to critics, the France crypto existing setup may lead customers to believe regulators actively control crypto enterprises. "The safety afforded by this registration is deficient, if not non-existent," said Thierry Philipponnat, a former AMF board member who left in October.

The Senate approved the proposal on Tuesday. It will be considered by France's parliament in January next year. So far, the French Government has resisted the document, claiming that hastening regulatory requirements could scare away investors.

According to France's Adan, the proposed revisions indicate that the country is "renouncing its desire" to become a crypto centre, and the government is "abandoning an industry of the future" as a result of [FTX's](/news/article/former-ftx-ceo-sbf-arrested) failure.



yellow image of Eiffel tower with crypto falling

France Crypto Rules Under Pressure

It's common knowledge that financial regulators are pushing hard for the regulation of cryptocurrencies. And it's no surprise that one question on the minds of crypto investors is, "Are crypto gains taxed in the UK?".

In this article, we explain all you need to know about getting taxed on your crypto in the UK. Let's dive in and answer ‘when are crypto gains taxed?’.

## Are crypto gains taxed in the UK?

Yes, crypto gains are taxed for most crypto investors in the UK. In the eyes of HMRC, your crypto assets are not considered to be currency or money, nor does it consider crypto trading to be gambling as in some forms of forex trading. However, it considers crypto as tokens and classifies it under the capital asset (like shares) or property class. And this makes them liable for capital gains or income tax depending on their disposal (more on this in a moment).

If you get paid in crypto for work or business activities, you’ll be taxed an income tax. But if you use it as a form of personal investment, the capital gains tax law applies.

## HMRC further defines disposal as:

•	Exchanging crypto for other cryptos/tokens.

•	Mining crypto.

•	Trading it for financial gain.

•	Gifting tokens to someone who’s not your spouse or civil partner.

•	Paying for goods and services.

When your questions is 'are crypto gains taxed in the UK', keep in mind that this rule doesn’t apply to all crypto investments. You can avoid paying crypto tax in the UK when you:

•	Buy crypto using fiat pound sterling.

•	Transfer crypto between wallets you own.

•	HODL crypto.

•	Donate crypto to charity.

•	Gift crypto to your spouse.

•	Earn less than £1,000 in crypto income.

•	Invest your crypto into a pension scheme.

You are only liable to pay crypto tax in certain scenarios, which include paying:

•	Capital gains tax when you make a profit of more than £12,300 for selling, exchanging, gifting, or spending your crypto.

•	Income tax if you earn more than £12,300 in income.

To put these into context, let’s dive deeper into the scenarios where you’ll have to pay crypto tax in the UK.

## When will you pay tax on crypto gains?

When are crypto gains taxed? The UK crypto tax law applies when you earn an income or capital gain in crypto. The scenarios of income and capital gain are explained thus:

## Paying capital gains tax on your crypto

### Trade crypto

You’ll pay capital gains tax when you sell your crypto and make a profit. The rule only holds for the profit made.

### Swap crypto

Swapping/exchanging crypto assests will incur capital gains tax as you'll be selling to other crypto investors or a liquidity pool.

### Gifting crypto to people other than your spouse

HMRC requires you to pay capital gains on the profit you made between buying crypto and before gifting it. This tax rule doesn't apply when gifting crypto to your spouse or civil partner.

### Paying for goods and services

Spending crypto on goods and services attracts capital gains tax on the profit you made before spending it.

## Paying income tax on your crypto

### When you get paid in crypto

"But crypto payment isn't cash payment, at least in the eyes of HMRC. So why's it taxed?" Well, HMRC considers it an income, so income tax and national insurance contributions apply. And should you receive airdrops and dispose of the tokens, you'll pay income tax.

### Mine crypto

The crypto income tax also applies when you verify transactions on the blockchain and earn rewards. Also, if you dispose of the cryptocurrencies at any point, you'll be taxed. However, you won't be taxed if you declare mining as a hobby.

### Inherit crypto

As earlier stated, crypto assets are classed as property in the UK. Hence, you'll be required to pay inheritance tax if the value is worth more than £325,000. So if you inherit £425,000 worth of crypto assets, you'll be taxed on the £100,000.

### Stake crypto

The rewards you earn from staking your crypto are considered miscellaneous income by HMRC, so it's taxed.

## How much will I be taxed?

Since not all of your crypto is liable for taxation, find out the ones that can be taxed and write them down.
When calculating your capital gains tax, first calculate the cost basis for each transaction – the amount paid for the crypto and the transaction fees. For example, if you bought 1 ETH for £15,000 and paid £50 in transaction fees, your cost basis will be £15,050.

Then work out the value of your crypto at the time you disposed of it and deduct your cost basis. So if you sold your ETH at £17,000, you'd have made a capital gain (profit) of £1,950. You can then pay your tax based on the applicable income tax band.

## Capital gains tax rate	                                                                          and Income tax band

10%	                                                                                                     Basic rate (up to £50,270)

20%	                                                                                                     Higher rate (up to £150,000)

20%	                                                                                                     Additional rate (over £150,000)

As we established earlier, £12,300 of your capital gain is tax-free. So if you earn £20,000 in crypto profit, deduct the tax-free allowance from it, leaving you with £6,700, which you’ll pay 10% tax.

For calculating your income tax, first, work out the Fair Market Value (FMV) of your crypto income – this is the value in pounds at the time you received it. Thereafter, add it to your other earnings and pay the tax required for your taxpayer band. Better still, calculate the amount using the HMRC pay calculator.

Let’s assume you earn £12,570 from your day job and £3,500 freelancing and getting paid in crypto, you’ll pay 20% on your £16,070 income.

You can learn more about crypto tax compliance in HMRC’s Cryptoassets Manual.

## How does HMRC know about my crypto transactions?

HMRC has a data-sharing arrangement with UK exchanges where they get customer information. Also, they have your KYC records when you signed up for a wallet or UK exchange.

## How do I pay crypto tax?

You’ll have to declare your crypto profit to HMRC in your Self Assessment tax return. To do this, you must keep an accurate record of your earnings.

### Follow these steps:

1.	Register for Self Assessment tax return by 5 October.

2.	Keep a detailed record of your crypto transactions and declare the following: 

    2.1.	Type of tokens

    2.2	Date you disposed of them

    2.3	Number of tokens disposed, the remainder, and their value in pounds

    2.4	Cost of the tokens before and after disposing of them

    2.5	Wallet addresses

    2.6	Bank statements

3.	Calculate the tax payable and prepare the bill.

4.	Pay the tax by 31 January.


yellow image of bitcoins on a laptop with a sign that says "taxes"

Are Crypto Gains Taxed in the UK?

The largest crypto exchange, [Binance](https://www.binance.com/en), suffers massive withdrawals as the platform experiences outflows of more than $1 billion in 24 hours.

Currently, it is surrounded by [FUD](/news/article/ftx-vs-binance-liquidate-funds) and rumours that are affecting its position in the market. 

Binance CEO and co-founder Changpeng Zhao (CZ) took to Twitter to clarify the situation. He said his firm saw more than $1.14 billion of withdrawals on Tuesday. He further stated that these outflows were not the highest they processed and called it "business as usual." Meanwhile, customers are continually removing their assets from their accounts.

![binance1.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/binance1_b1ba9c605d.png)
 
## Binance suffers highest daily withdrawals since June

Analysis by blockchain analytical firm [Nansen](https://www.nansen.ai/) shows that this is the highest level of withdrawals in a day for Binance since June. The report also claims that the total withdrawals for the exchange have been more than $3 billion.

![binance2.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/binance2_5f30c95f24.png)

[Source](https://twitter.com/nansen_ai/status/1602618067598442503)

It is contrary to the figure that CZ announced on Twitter. It could be an act of downplaying the situation like FTX previously did. Nonetheless, Binance is currently fighting against investor jitters in this crypto winter.  

## FUD in the market

Since the collapse of Sam Bankman-Fried’s FTX, FUD has taken over the market. On Tuesday, Sam was [arrested for fraud](/news/article/former-ftx-ceo-sbf-arrested), considered one of the largest-scale financial scandals in US history. The FTX contagion has spread over the entire crypto market. It has damaged many digital asset firms like [BlockFi](/news/article/ftx-collapse-blockfi-suspend-withdrawals), [Gemini](/news/article/gemini-crypto-exchange-falls-prey), and [Genesis](/news/article/genesis-brokers-owes-gemini). 

Moreover, an ongoing investigation for money laundering against CZ’s firm is also making headlines. According to a [report](https://www.reuters.com/markets/us/us-justice-dept-is-split-over-charging-binance-crypto-world-falters-sources-2022-12-12/), the US Justice Department is contemplating filing a case against the exchange’s executive body, including CEO CZ.

People are hesitant to invest and are withdrawing their assets in panic. As Binance suffers, the market is continually seeing a [downward trend](/news/article/crypto-market-crashing). Amid this scenario, outrageous outflows from the largest exchange signify a long winter.


red image of woman holding binance coin. 

Binance Suffers $1 Billion in Withdrawals

A [judge in the Bahamas has refused bail for Sam Bankman-Fried](https://www.bbc.com/news/technology-63967010.amp), the founder and former boss of the bankrupt crypto exchange FTX. According to the most recent sources, he will be detained by Bahamian authorities following his [arrest](/news/article/former-ftx-ceo-sbf-arrested) on 12 December, 2022.

Joyann Ferguson-Pratt, the judge in the case, has scheduled an extradition hearing for 8 February, 2023. The hearing was arranged in response to the decision to deny the former FTX boss bail.

## Ex-FTX boss in court

During the hearing, the attorney for the former FTX boss asked the judge whether SBF might be released on a $250,000 bond. The lawyer argued that his release is required since he requires daily medication.

Prosecutors in the Bahamas resisted the proposal, claiming it violated a treaty with the United States. The attorneys also stated that defendants should be imprisoned while extradition procedures were underway under the treaty provisions.

Bankman-Fried notified the judge that he would not forgo his right to contest the extradition. He then hinted that he could desire to stay in the Bahamas on purpose.

Bankman-Friend, wearing a blue suit without a tie, dropped his head and hugged his parents when the judge ruled that his danger of flight was "very severe". The judge ordered him to be detained in the Bahamas until 8 February.

## Allegations on FTX boss

After the Royal Bahamas Police was informed of a secret indictment by US prosecutors, they arrested SBF on Monday. The arrest was sparked by an unsealed indictment which included eight charges against SBF. These included conspiracy and wire fraud, for allegedly abusing billions of dollars in client payments before his cryptocurrency empire's stunning collapse last month.

Furthermore, the [SEC](/news/article/sec-crypto-enforcement-warning), CFTC, and the US Department of Justice filed complaints against Bankman-Fried on Tuesday for suspected securities and commodities fraud. Bahamas government officials are conducting civil and criminal investigations against him and FTX.

The day's events concluded a remarkable fall from grace for SBF, who created a fortune worth more than $20 billion as he rode a cryptocurrency boom to grow FTX into one of the world's largest exchanges.


red image of bankman fried in front of image of man in handcuffs. 

Former FTX Boss Denied Bail in the Bahamas

Complying with crypto regulations got easier thanks to Accointing.

[Accointing](https://www.accointing.com/) is your solution for tax filing on crypto gains. It doesn't matter which regulations you fall under or which country you live in. Your short-term and long-term gains will be calculated separately once you connect your trading accounts with Accointing. One can also connect their wallets like [Metamask](/news/article/what-is-metamask) and know how much they owe on their gains.

![Picture1.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/Picture1_f28af7c806.png)
 
Now several countries have implemented different tax slabs on crypto gains. Accointing solves this problem intrinsically by already complying with most of the regulations. A recent push by various governments towards crypto regulation has resulted in the need for such tools.

Accointing was founded in 2018 when crypto laws were not as strict as today. Many countries didn't even have guidelines on how to file these taxes in 2018. From there, the company has grown tremendously to include every user base under its umbrella. 

Accointing.com was also recently acquired by an industry-leading analytics platform, Glassnode. Now with all the expertise Glassnode has to offer combined with the experience Accointing has in this space, it's fair to state that these guys will be the flag bearers once crypto tax filing goes mainstream.

## How does Accointing help you?

Now let's suppose you're a day trader, opening and closing many trades in a day. Your turnover every day surpasses multiple thousands of dollars. It'd really be a task to audit hundreds of trades on a daily basis. Your CA will probably run for their lives taking printouts of your trade reports.

Accointing.com has got all this sorted and gives out calculations within seconds. You don't even have to click twice and you already have your taxes calculated. One can get their reports in FIFO, LIFO, and HIFO formats to file their taxes properly.

You can connect most of the centralised exchanges via API keys and have your trading reports generated. You just need to give access to 'read-only' APIs and you'll be good to go. Tax reports will be generated, and, from there on, you can select via which channel you want to submit your taxes. You can file your taxes yourself or via online tools, or you can have your CPA file it for you. All these options are available on the platform.

With crypto regulations becoming a thing we all have to comply with, having tools like Accointing helps us have peace of mind while trading and even afterwards.


blue image of accountants and bitcoins falling 

Accointing: A One-Stop Crypto Tax Solution

The founder and disgraced CEO of the failed crypto exchange FTX, Sam Bankman-Fried, was arrested on Monday after the US Government filed a criminal indictment.

These charges follow weeks of speculation that the FTX CEO misused customer funds.

## FTX CEO arrested

Sam Bankman-Fried, popularly known as SBF, was arrested by the Royal Bahamas Police Force. The police said that the arrest was initiated following receipt of formal notification from the US Government that it filed criminal charges and is likely to request that SBF be extradited.

In a statement, the Bahamas Police confirmed that Bankman-Fried was taken into custody without a hitch at his Albany apartment complex at 6pm.

SBF's arrest resulted from financial offences alleged in the US which would also be offenses in the Bahamas, the statement said.

A sealed indictment filed by the Southern District of New York was the basis for the arrest. US Attorney Damian Williams confirmed this in a [tweet](https://twitter.com/SDNYnews/status/1602451395910803457). 

Last month, the exchange filed for bankruptcy in the US after it imploded [almost overnight](/news/article/sam-bankman-fried-lost-billions), leaving customers unable to access their funds. According to court filings, FTX owed its largest creditors around $3.1 billion.

The dramatic fall from grace has been the talk of the market. The exchange's CEO was expected to testify about the [company's collapse](https://www.nytimes.com/2022/12/09/technology/ftx-text-messages.html) in Congress on Tuesday.

## Bankman-Fried future looks clouded

According to the [New York Times](https://www.nytimes.com/2022/12/12/business/ftx-sam-bankman-fried-bahamas.html), the charges filed against Bankman-Fried include wire fraud, wire fraud conspiracy, securities fraud, security fraud conspiracy, and money laundering.

However, it's still unclear whether customers will be able to recover some, if not all, of their funds. A 2 November report on ties between FTX and Alameda, a trading company also controlled by the FTX CEO, exposed that Alameda's balance sheet was overexposed to FTT currency (FTX's token).

According to the extradition treaty between the US and the Bahamas, defendants may be returned to the US provided their offenses carry a minimum one-year sentence in both countries.

The 30-year-old has recently disregarded legal counsel and increased his public appearances, providing his version of his company's abrupt failure and typically portraying himself as an inept CEO.

"I didn't knowingly commit fraud," he said during a BBC at the weekend. SBF told the interviewer he didn't want any of this to happen and added that he was "not nearly as competent" as he believed himself to be.



red image of crime scene with pictures of Sam Bankman-Fried and a sign that says "bahamas"

Former FTX CEO Sam Bankman-Fried Arrested

The Bank of Spain aims to launch a wholesale central bank [digital currency](/news/article/which-uk-banks-allow-cryptocurrency-purchases) programme and has requested bids from financial institutions and technology suppliers by 31 January.

The selected proposals must be completed in at least nine months, beginning on 3 April, with a completion date of 29 December, 2023. According to the selection process paper, they can offer an extension depending on many circumstances.

## CBDC programme aim, according to the Bank of Spain

According to an [official statement](https://www.bde.es/f/webbde/GAP/Secciones/SalaPrensa/NotasInformativas/Briefing_notes/es/notabe051222.pdf) from the financial institution, the initiative aims to imitate the usage of a CBDC in wholesale transactions. In wholesale transactions, monies transfer between banks and financial institutions. 

The bank claims the [wholesale CBDC](/news/article/reserve-bank-of-india-cbdc) initiative is unrelated to the European Union's study on a retail digital euro. Separately, Banque de France announced two studies in September to evaluate the feasibility of a wholesale CBDC.
 
According to a translated 5 December announcement, it would use the programme to experiment with financial asset liquidation, simulate money movement, and assess the merits and downsides of incorporating a wholesale CBDC into its present procedures and infrastructure.

While a retail [CBDC](https://finance.yahoo.com/news/spain-central-bank-opens-call-174249256.html?guce_referrer=aHR0cHM6Ly93d3cuZ29vZ2xlLmNvbS8&guce_referrer_sig=AQAAAJJPnYxvXtv0yecmihYLiCclqtZ_YZnB-kJYsxLfIQm1jiSb5dIREbPFcJxBwVc4aS-0gMBYy0dbGQsBohlMMORhi92GPbxcavqroNpkM-nn9OlnzxFMqpZi2y-W8lRLendbL9TJ7k2yDHAxEj4cMLZ_qUF8mljP4vJWpI7zU4C2) is available to the general public, a wholesale CBDC is a digital currency primarily used by financial institutions to keep reserves with a central bank.

The programme is unique to the BDE and is unrelated to work being done in the European Union to investigate the usage of a [digital euro](https://www.ecb.europa.eu/paym/digital_euro/html/index.en.html).

## Reason for undertaking study

In justifying the initiative, the BDE stated that studying CBDCs can assist in assessing how much they can contribute to adapting to the requirements and expectations of an increasingly digital society. 

CBDCs are also being "analysed and experimented" within various jurisdictions, with the primary focus being retail use. However, it claimed that more corporations are venturing into those of a wholesale or interbank kind".


Bank of Spain Proposes CBDC Project

While Crypto.com, one of the top cryptocurrency exchanges, may be in ‘fine health’, [according to CNBC](https://www.cnbc.com/2022/12/09/cryptocom-kris-marszalek-involved-bankruptcy-offshore-holdings-client-money-monaco.html), there are questions about the Crypto.com CEO.

In a report which mentions that, due to inadequate and incomplete proof of reserves, it was discovered that roughly 20% of customer cash was held in a meme token known as Shiba Inu. the history of CEO Kris Marszalek comes under scrutiny.

Marszalek's past in business is littered with warning signs, such as a multimillion-dollar settlement for defective items, corporate bankruptcy, and the failure of an e-commerce company immediately after a blowout marketing campaign.

## Crypto.com CEO history raises concerns

[Marszalek responded to CNBC's demands by publishing a 16-tweet thread](https://www.cnbc.com/2022/12/09/cryptocom-kris-marszalek-involved-bankruptcy-offshore-holdings-client-money-monaco.html) in which he discussed how the personal bankruptcy he had previously experienced and the sudden shutdown of his e-commerce business should be viewed as learning experiences.

In 2009, Marzsalek's business settled with a customer for $5 million due to a dispute regarding a defective shipment of flash drives. Marszalek and his business partner were each given roughly $3 million in payments from Starline, with Marszalek receiving $1 million for his personal use and his business partner receiving $1.9 million.

By the year 2009, Starline had gone bankrupt as a result of the inability of its clients to repay the credit lines that the company had granted to them during the economic crisis that occurred in 2007 and 2008.

The court dismissed Marszalek's argument that he was reimbursed for debt after determining that the transfer of $300,000 to Tekram was "in actuality a payment" to Marszalek.

Marszalek and his business partner were back in the game shortly after the company declared bankruptcy. They established a holding company in an offshore jurisdiction in the Cayman Islands, which was revealed in the publication of the Paradise Papers. Buy Together, owned by Middle Kingdom, was the owner of BeeCrazy, an online retail business that offered intense discounts on the products it sold. Both purchasers and vendors were driven to the website by the substantial price reductions offered on various goods, ranging from spa tickets to USB power banks.

The corporation invested $700 million in the stadium and signed a contract with LeBron James to advertise during the Super Bowl. The severe decline in the market that occurred in 2022 was devastating for all the major players.

As a result, [Crypto.com had to let go of hundreds of staff](/news/article/crypto.com-under-investigation) in the most recent few months. Cronos, the native token of Crypto.com, has seen its value drop from $3 billion to $1.6 billion as investors have become less confident in the cryptocurrency.



red image of trading graph with crypto.com ceo in foreground

Crypto.com CEO Past Includes Bankruptcy

South Korean prosecutors claim that the founder and CEO of [Terraform Labs](https://www.terra.money/), Do Kwon, is hiding in Serbia. They believe he left Singapore a couple of months earlier and moved to Serbia. 

[Do Kwon](/news/article/do-kwon-terra) is hiding as he was charged with a breach of financial laws. He is involved in the controversial collapse of the Terra ecosystem that startled the market. However, the global manhunt for the crypto fugitive is still going on. 

A report by [Chosun Media](https://www.chosun.com/economy/stock-finance/2022/12/12/VXFAUH7R7BFSVCYDEM7RNPRCXI/) says that the investigation authorities have stated that they received intelligence about his whereabouts in Serbia. They investigated further and “found it to be true".

## Do Kwon hiding: South Korean authorities seek cooperation

The South Korean investigation authority is already seeking to cooperate with the Serbian government. The Chosun Media report also suggests that the Financial and Securities Criminal Unit of Seoul Southern District Prosecutor will request assistance from Serbian officials. 

The authorities have yet to discover why Do Kwon left for Serbia. They believe it is only to avoid investigation and prosecution.

The notorious figure in the crypto industry earlier moved to Singapore just before [Terra-Luna collapsed](/news/article/terra-luna-collapse). In September, Seoul’s prosecutors issued red warrants for his arrest. The charges included breaching capital market regulations and also giving false information to investors. 

Since then, his whereabouts have not been known. The Korean authorities are yet to track down the fugitive's exact location. In October, they found out that he had left Singapore. He is believed to fly to Dubai and then to an unknown country. Singaporean officials also confirmed this news. 

![do kwon.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/do_kwon_810aeec14a.png)
  
In October, South Korea's Ministry of Foreign Affairs issued a warrant to surrender his passport. However, they have yet to get a response. Meanwhile, on Twitter, he maintained that he was not trying to hide.


red image of serbia with do kwon on foreground

Do Kwon hiding in Serbia, claim Prosecutors

[Cryptonary](https://www.cryptonary.com/) is a crypto media company focusing extensively on cryptocurrency research and education. The community consists of several experts with extensive experience in the crypto space and offers their members exclusive features. This piece is a review of the subscription package and what it entails.

## What is Cryptonary Pro?

Cryptonary Pro is a subscription to all the community's exclusive news, hidden opportunities, and first-hand access to crypto news. It also offers in-depth market analysis, including detailed technical analysis and price movement information.

The Cryptonary subscription package offers users everything they need to survive and thrive in the crypto market. This includes deep market insights with step-by-step guides and research insights that give members an edge.

## Benefits of Cryptonary Pro subscription

Here are the benefits you get when you subscribe to the community:

### Exclusive market news

Members get exclusive market news first-hand. Getting information fast is integral to crypto trading because it helps make critical trading decisions.

### In-depth market analysis

Subscribers get market analysis digests which contain technical and on-chain analysis in various formats weekly. The digests include detailed information to help members make informed decisions.

### Market insights

Community members get market insights that can fetch massive returns on their investments. For example, the community members got first-hand information about [Solana's potential](/news/article/solana-price-prediction) before the price increase. Members who took advantage of this opportunity got massive returns on their investments.

### Access to educational materials

As a member, you have access to [crypto courses](https://www.cryptonary.com/learn-crypto/) that you can use to navigate and understand the cryptocurrency space. These courses vary from simple explainer tutorials and beginner guides to advanced classes for experienced investors. You can use this material to learn more about crypto and increase your expertise.

### Private community

Subscribers also get access to the private community as part of the subscription package. In this community, you have access to all experts and investors alike. You can get experts' answers to questions you might have without paying extra. You can also connect with peers to gain market tips that put you ahead of the curve.

### Featured podcasts

You also get featured podcasts regularly that provide new perspectives on the latest crypto events. The podcasts cover every aspect of the crypto space, from [DeFi](/news/article/what-is-a-defi-token) to Bitcoin to [Metaverse](/news/article/what-is-the-metaverse).

## Is Cryptonary Pro subscription worth it?

If you're looking for hidden crypto opportunities or market news and analysis without having to do any work, this is for you. You have access to market information and exclusive market insights for a small monthly fee.



blue image of cryptocurrency altcoins with cryptonary logo. 

Cryptonary Pro Reviewed

[COTI Pay](https://coti.io/coti-pay) is a revolutionary payments platform built on [COTI (COTI)](/news/article/what-is-coti-crypto), enabling users to engage in both traditional and decentralised finance (DeFi). COTI is a layer-1 [blockchain](/news/article/what-is-blockchain) that has developed a state-of-the-art consensus algorithm, called Proof of Trust (PoT). Compared to consensus mechanisms like Proof of Stake (PoS) and Proof of Work (PoW), PoT may lower transaction costs and enhance throughput to as much as 100,000 TPS!

Hence, the platform represents a breakthrough in digital financing and payments, powering low-cost and instant settlements and financing options, easy transactions, and acceptance of all payment methods (both online and offline). A culmination of these features results in the platform serving at the helm of a [borderless global economy](/news/article/russia-approves-cross-border-crypto). Here is why the payments platform truly stands out:

## COTI Pay consumer benefits

•	Rapid and secure payments.

•	Cashback rewards and loyalty points.

•	Prepaid virtual debit card availability.

•	Protection for buyer-seller transactions.

•	Users may buy cryptocurrencies using credit cards.

## COTI Pay merchant benefits

•	Immediate settlements.

•	[Low transaction costs](/news/article/layer-2-growth).

•	Availability of financing options.

•	High-interest earnings on balances.

•	No FX fees.

•	Protection for buyer-seller transactions.

•	Loyalty programmes and white-labelled coins.

•	SDK packages and plugins.

•	Wide support for both the banked and unbanked.

## Setting up your COTI Pay VIPER wallet

Opening and setting up an account is fairly straightforward and I recommend following [this step-by-step guide](https://cotinetwork.medium.com/how-to-open-and-set-up-your-coti-pay-viper-wallet-ac23c558f0e7). In a nutshell, here are the steps you must follow:

•	Open a COTI Payment System (CPS) account.

1.	Sign up.
2.	Verify your email address and enter your personal information.
3.	Verify your account.

•	Log in to your CPS account.

1.	Set your Secret Key.
2.	A Seed phrase will be generated. Note down and secure it.
3.	Log in to your wallet using either the Secret Key or Seed phrase.

•	All done! You can now generate a wallet address (as many as you require) and maintain all wallet addresses by accessing your Address Book.

## COTI Pay marries traditional and decentralised finance

Note, the goal of the payments protocol is NOT to eliminate traditional finance (TradFi), but enhance it by marrying the best of DeFi to TradFi. Hence, the payments protocol enables users to enjoy the best of both worlds.


blue image of crypto altcoins with coti logo

COTI Pay and Why You Should Consider IT 

The US fintech company [ZELF](https://zelf.co/) has launched a new Visa debit card that gives users a [crypto payment option](/news/article/best-crypto-card-uk) with anonymity.

The newly unveiled card can be used at more than 80 million Visa locations around the globe.

It also allows users to open a USD checking account easily. It only requires your name, phone number, and email address. As a result of this, users don't have the hassle of providing a long list of documents. You can create accounts without providing proof of address or social security number (SSN).

![zelf.png](https://s3.eu-west-2.amazonaws.com/prod-monitalks-media/zelf_9aa5caf3db.png)
 
ZELF’s virtual debit card is compatible with both [Google Pay](https://pay.google.com/) and [Apple Pay](https://www.apple.com/apple-pay/). The company claims that users can open an account within 30 seconds. They can also recharge the cards with both fiat and crypto. In cryptocurrencies, the currently available options include [Ether](/coins/eth), [USD Coin](/coins/usdc), and [Tether](/coins/usdt). However, users will likely have more than 20 other tokens in the coming years.

## ZELF and Visa collaboration

[Visa](https://usa.visa.com/) is one of the leading digital payment networks. Recently, it has been active in the fintech field and partnered with several firms. It has worked with many famous names in the industry, such as Chime, Airwallex, Finaxar, and others, to introduce innovative financial products.

Now, it has collaborated with ZELF - Bank of the Metaverse for this anonymous debit card. With the launch of this product, both companies are looking to provide a private and secure channel for [crypto payments](/news/article/blockonomics-explained). 

They have also reduced the verification requirements to promote digital asset adoption. The product is likely to attract new audiences and make crypto transactions more accessible for them.

The Chief Executive and Founder of ZELF, Elliot Goykhman, also believes that they can reach a "global unbanked population" because of lesser verification requirements. It will give them access to innovative and advanced financial services.


visa debit card and zelf fintech logo in blue and black

ZELF Launches Crypto-enabled Debit Cards

Following the collapse of FTX last month, pressure is rising on US regulatory body the SEC to beef up enforcement of major crypto sector centres. 

The failure of [FTX](https://www.wsj.com/articles/sec-faces-calls-to-boost-crypto-exchange-enforcement-after-ftx-collapse-11670474070) focused attention on crypto exchanges, which serve as key hubs for individual investors and provide services such as digital-coin sales, financing, and asset storage. Despite spending more than six years studying various sector aspects, the Securities and Exchange Commission regulatory agency still needs to sue a major cryptocurrency exchange.

According to sources familiar with the topic and regulatory disclosures, the [SEC](/news/article/xrp-vs-sec-lawsuit-update) is investigating exchanges such as Coinbase Global Inc. and the US operations of Binance and FTX. It has penalised or sued dozens of token creators over the past six years.

According to the SEC, several cryptocurrencies qualify as [securities](/news/article/sec-vs-ripple-news) that should have traded under stock and bond laws. The firm's Chair Gary Gensler says that exchanges are breaching the law by selling unregistered securities and failing to follow standards that the NYSE and Nasdaq Stock Market follow.

## Lawyers believe SEC crypto enforcement is not enough

Some attorneys argue that, despite such claims, regulatory enforcement measures have yet to go far enough as the sector has matured and ordinary people are committing their assets to crypto enterprises. Mr Gensler risks substantial criticism if he does not get things going", according to the report "former SEC enforcement attorney John Reed Stark.

It was a flaw in their plan not to pursue these entities, Mr. Stark explained. 

The exchange kept trading six assets after the SEC sued a former Coinbase employee in July, alleging that the business sold seven improperly issued securities. They could have sued Coinbase, but they chose not to. According to a Coinbase spokesperson, the company thinks that none of the six digital currencies are securities.

## Crypto exchanges believe SEC is using the wrong crypto enforcement laws

According to industry lawyers, the SEC crypto enforcement approach is exhibiting signs of wear and tear after years of the SEC utilising its enforcement arm to drive the industry into its supervision.

According to some industry attorneys, the activities of cryptocurrency exchanges are so unlike those of stock exchanges that compliance with their standards is impossible.


sec logo with hands shaking in the background

SEC Crypto Enforcement Warning

Niftify is an e-commerce NFT platform where users can buy, bid, create, sell, and swap NFTs. The platform also allows users to create, launch, and operate compliant NFT stores and marketplaces with no coding required.

Launched in 2021, [Niftify](https://www.niftify.io/) is easy-to-use and highly secure. It supports lots of popular crypto wallets, including its very own custodial wallet, and features plenty of payment options, including the use of credit cards. It currently operates on the Ethereum and Polygon networks with plans to expand to more.

## Niftify features

Several features enable Niftify to stand out;

•	Launchpad: A place where creators, startups, and corporations can find all they need to launch NFT collections. It is also a place where users can support creators.

•	Swap: The feature allows users to exchange NFTs. They can, for example, exchange multiple NFTs for one NFT. They can also add value to a lesser-valued NFT to exchange it with a higher-valued one.

•	Sales tax automation: The feature ensures sales taxes are always properly charged to all users maximizing compliance.

•	[Marketplace](https://marketplace.niftify.io/): A place where users can sell and buy NFTs. It features plenty of NFT collections, including Invisible Friends, Veefriends, and the popular Bored Ape Yacht Club.

## Native token

Niftify has a native utility token called NIFT. It is Ethereum-based (ERC20 token standard) and is used to incentivize actions within the ecosystem. For example, those who hold the tokens receive discounts when paying service fees. They can also be staked.

The tokens have a max supply cap of 200 million coins. There are currently 11,500,769 of them in public circulation.
As of writing, according to [Coinmarketcap](https://coinmarketcap.com/currencies/niftify/), each of the coins is worth $0.00428. They are ranked the 2,283rd largest cryptocurrency, with a live market cap of $49,162.35.

Considering its price, the NIFT token offers a great entry price into the crypto market. However, it is not listed in many crypto exchanges. Some exchanges where it can be bought include Gate.io, BitMart, and MEXC.

Another inconvenience is that the coins can’t be bought directly with fiat. To invest in the cryptocurrency, you'll first have to buy ETH or BTC from a fiat-to-crypto exchange. Then you must move to a crypto-to-crypto exchange that lists NIFT and use your ETH or [BTC](/coins/btc) to buy the coins.

## Niftify Staking

Niftify allows anyone with NIFT tokens to stake them for rewards. The process is, however, not reversible once initiated.

[Staking](/news/article/what-is-staking-crypto) on the platform comes with a lock-up duration. Those who wish to participate in NIFT staking can, however, determine the lock-up duration, which is between 0 to 365 days. Once locked up, there is no way to reverse the process. There is an unstaking period that lasts seven days.

Staking on Niftify is immediate. The rewards vary depending on staking duration, the amount staked, staking pool size, and the stakers’ population.

## PNFTs

Niftify also allows users to buy, sell, and trade PNFTs or physical non-fungible tokens. The tokens represent tangible or physical objects like electronics, vehicles, and furniture.

PNFTs have several benefits, including:

•	Trading speed: they are easy to buy, sell, or trade. Owners don’t have to possess the physical assets to sell them.

•	Liquidity: because they are easy to buy, sell, and trade, they are highly liquid. Anyone can buy and resell them from any corner of the globe.

•	Access to assets: they allow access to assets that could not be accessed and bought online, like vintage vehicles.

## Conclusion

Niftify is an ambitious e-commerce NFT platform that looks to change how people interact with NFTs. The platform offers great features to help with NFTs, NFT stores, and marketplace creation. Its lazy minting feature is a notable feature that helps ease the NFT creation process.

So far, the company behind the platform has entered into some strategic partnerships. These include partnering with acrobatic dunking world champions Dunking Devils to sell NFT-based event tickets in Slovenia. The company also partnered with the Repton Family of schools to launch NFTs for students.


blue image of phone on a laptop with niftify logo overlayed

What is the Niftify Platform?

A [report](https://www.wsj.com/amp/articles/ftx-hires-forensic-team-to-probe-money-trail-11670446435?mod=lead_feature_below_a_pos1) from the Wall Street Journal (7 December) claims that FTX has formed a team of financial experts to trace billions of dollars in “missing” customer funds from the company.

The new management at FTX is looking to get to the bottom of the entire crisis, and they’re not aiming for a slow process. The team has outsourced the matter to a group of financial forensic experts to find out how and where the funds could have gone missing.

To be specific, [AlixPartners](https://www.alixpartners.com/), a firm that specialises in financial matters, has been trusted with this mountain of a task. This advisory committee will be led by Matt Jacques, formerly with the US Securities and Exchange Commission (SEC) as a chief accountant.

FTX will try to recover as many of the missing assets as possible with the help of this newly formed committee. Furthermore, the crypto company will need further assistance to rebuild its financial infrastructure from the ground up.

## Summary of the FTX crash

If you're even the slightest bit involved in the crypto industry, you've probably heard the name FTX pop up a few times over the last couple of months - and not in a good light. The crypto company has been under fire for letting almost $450 million of customer funds disappear.

The whole debacle and the story of "[who’s to blame](/news/article/ftx-bankrupt-who-to-blame)" is a mystery, even after months of speculation.

It's not the first time the company's CEO, Sam Bankman-Fried, has been alleged to have mismanaged customer funds. In an interview with [Vox](https://www.vox.com/future-perfect/23462333/sam-bankman-fried-ftx-cryptocurrency-effective-altruism-crypto-bahamas-philanthropy), Bankman-Fried claimed to have passed customer funds through Alameda Research, FTX’s sister company. He did admit his lack of control over his company’s operations, as he [tweeted](https://twitter.com/sbf_ftx/status/1590709166515310593?s=46&t=Br1_HGNzUBwspKZ7pF6myA), "I'm sorry. I f--d up" after the fiasco broke.

The company filed for bankruptcy in November. It's difficult to see them making a comeback, largely due to two major factors:

•	The global negative PR that the company has been a victim of over the period of several months.

•	A low probability of recovering the lost funds.

FTX’s new management will need a miracle to even get crumbs from this entire mess.



red image of money with sam bankman-fried in the foreground

FTX Brings in Financial Experts

The ongoing [Celsius](/news/article/celsius-data-breach) bankruptcy case saw a new development this week as US judge Martin Glenn delivered a ruling. He issued a direction that the firm must pay back $50 million worth of crypto assets to users' custody accounts. 

The ruling during the hearing on Wednesday came after [Celsius](https://celsius.network/) stakeholders and advisers concluded that custody assets belong to customers, not the company.

## Verdict applies to $44 million custody assets

As per the [filing](https://cases.stretto.com/public/x191/11749/PLEADINGS/1174909012280000000022.pdf) that was made in September, the company owes roughly $44 million. However, that is said to represent only a small portion of the total debts of the firm.

The filing also shows that the company has around 58,300 users with about $210 million in withholding and [custody accounts](/news/article/celsius-network). The recent ruling by Judge Glenn applies only to the custody assets of 15,680 users.  

## Pending decision on interest-bearing accounts

Earlier, the bankrupt crypto lender also asked for the judge's consent to sell $18 million worth of virtual assets from interest-bearing accounts. The users deposited the amount in these accounts before the lender filed for Chapter 11 bankruptcy. However, Judge Glenn is yet to give a verdict on this request. 

The US judge says he wants the Celsius bankruptcy case to move forward as quickly as possible. According to a [Bloomberg report](https://www.bloomberg.com/news/articles/2022-12-07/celsius-judge-orders-return-of-user-crypto-worth-50-million?sref=17Td6NBb&leadSource=uverify%20wall), he also announced that he wants creditors to get back "as much as they possibly can" and "as soon as they possibly can".

This pending decision is crucial for the case because Celsius might claim these assets. There were more than $200 million in custody accounts in September. However, a large part of the holdings was transferred from the interest-bearing funds just before the company filed for [bankruptcy](/news/article/celsius-bankruptcy-protection). That’s why the rules of preferential transfers may benefit the company. This decision could also set a legal precedent in bankruptcy cases.



red picture with celsius logo and the word "bankrupt"

Celsius Bankruptcy: Judge Orders Return of $50m

With the recent boom in crypto trading and the advent of cryptocurrencies as a means of investment, it's becoming increasingly important for anyone involved in crypto trading to keep tabs on their tax obligations. As a trader, you need to understand all the different ways you'll need to pay taxes on crypto. Let's see how Koinly helps in the tax calculation of crypto assets.

## What is Koinly?

Koinly is a powerful platform that makes tax planning for cryptocurrency investors simple and accessible. It was launched by Robin Singh in 2018 as a revolutionary crypto tax solution that offers automated capital gains reporting for both investors and accountants. 

It is the fastest-growing crypto tax solution, with offices in more than 20 countries. It integrates with more than 6,000 blockchains, 350 exchanges, and 50 wallets, providing a comprehensive crypto tax reporting service. Crypto Portfolio Tracking with [Koinly](https://koinly.io/) is free, but to get the full suite of tax reports, you must become a premium member.

## Benefits of using Koinly

Crypto tax calculations should be done regularly. Failure to pay taxes can cause serious consequences. You may have to pay fines and interest on your taxes. A good way to handle the problem is to find the right accounting software for cryptocurrency. With Koinly, you don't have to worry about anything because it does everything for you.

Koinly has a dedicated accountant solution to help you work faster and smarter. It will help you to calculate your clients' crypto taxes in a reliable and fastest way. You'll be able to generate HMRC-compliant reports in minutes.

You can integrate Koinly with crypto exchanges and wallets through using API or by uploading your transaction history as a CSV file. This helps you to keep track of your crypto transactions from one platform.

Koinly makes it easy to transfer your funds to your own wallets. It automatically imports all of your transactions with the current market prices, matches your transfers between your own wallets, and shows your profits and losses. It lets you generate a tax report and import your tax forms in under 20 minutes.

It helps to automatically match transfers between your own wallets, as Koinly uses a combination of time-based heuristics and general matching techniques.

## What is crypto cost basis

The cost basis of a cryptocurrency is the original purchase price at which it was acquired. In the case of the other types of cryptocurrencies, their cost basis is the amount paid for the coins when they were first issued. For example, if you buy Bitcoin in 2016 for $20,000, the cost basis is $20,000.

The purpose of a cost-basis method is to understand which cost base you should use when calculating your capital gains and losses. Different countries have different rules on cost-basis methods.

While countries like [the UK](/news/article/uk-crypto-tax-regulations) and others have stringent rules regarding cost-basis methods, the US and similar countries allow you to choose any cost-basis methods that work for you.

Cost basis formulas are a wide range of choices. Some of them include:

•	First In, First Out (FIFO): Under this method, the first crypto you buy is the first one you sell. And the cost basis of crypto assets is based on this first crypto.

•	Last In, First Out (LIFO): This method depends on the cost basis of the crypto asset you purchased most recently.

•	Average Cost Basis (ACB): The average cost basis is the total amount you paid for your asset(s) divided by the total number of tokens/coins you own.

•	Highest Cost, First Out (HIFO): In this case, the cost basis is the most expensive asset sold first.

•	Lowest Cost, First Out (LCFO): It's totally the opposite of Here the least expensive asset sold first is considered.

From the above list, the FIFO methodology is the most commonly accepted calculation method. While most countries support and recommend using the FIFO method, the weighted average cost method is being accepted by some others as the crypto cost basis method.

However, FIFO is considered the most beneficial cost-basis method for tax purposes as it helps minimize capital gains.

## Koinly UK: Computing crypto taxes in the UK

In the UK, the crypto tax rules used to change constantly. By using Koinly, you don't have to worry about tax calculation. Koinly keeps a close watch on the HMRC's Crypto Assets Manual. It also regularly updates the guide to keep us informed and tax compliant.

For crypto income in excess of the £12,300 tax-free allowance, you'll have to pay either 10% or 20% tax on capital gains. Again, you'll be taxed between 20% and 45% on any additional income from cryptocurrency over the personal allowance. The exact tax amount you'll pay depends on the total crypto transaction you've made and the Income Tax band that applies to you.



koinly logo in front of image of tax papers and calculator with a blue filter

Koinly for Crypto Tax Calculations

Tony Fadell, an executive at California's center for global innovation and high technology, Silicon Valley, disclosed on Tuesday the launch of a hardware crypto wallet to store cryptocurrency offline.

A hardware wallet securely stores a user's private keys or passcodes in cold storage. This means that the wallet is not connected to the internet. Hot wallets, on the other hand, are always connected to the internet and allow their users to send, store and receive coins and tokens.  

Fadell’s hardware wallet was created in partnership with Ledger, a France-based technology firm that develops secure infrastructure solutions for blockchain applications and cryptocurrencies used by individuals and companies. 

## Why is Tony Fadell launching a hardware wallet? 

Tony Fadell decided to launch a hardware wallet due to the increasing demand for self-custody (non-custodial) wallets from millions of cryptocurrency traders and investors. While custodial wallets, such as holding an account with [Binance](/news/article/binance-staking) or Coinbase, see representatives of such exchanges hold the private keys to your crypto holdings, non-custodial wallets ensure you have access to your private keys or passcodes. 
Demand for hardware wallets is increasing because of the [collapse of FTX](/news/article/ftx-collapse-blockfi-suspend-withdrawals), which led to an industry-wide bloodbath that saw the halting of deposits and withdrawals across several exchanges.

Fadell's hardware wallet means people can hold their digital assets outside the confines of exchange representatives and away from cyber criminals.
Fadell chose Ledger because it is a crypto hardware wallet maker serving clients in more than 200 countries and has sold more than five million wallets across the globe.
While previous products by Ledger, like the Nano S and Nano X, were modelled after USB sticks, the new design, Ledger Stax, is shaped like a credit card. It features an electronic-ink display and a curved spine.
The Ledger Stax will be on sale from early 2023 and will sell for $279. 

Fadell, now in his 50s, spent close to 10 years under Steve Jobs during his time at Apple Inc. It was during that period that he helped create iPhone. 
The crypto wallet market is forecast to grow to [$686.05 million](https://www.prnewswire.com/news-releases/crypto-wallet-market-to-grow-by-usd-686-05-mn-driven-by-peoples-inclination-toward-digital-currency---technavio-301674672.html) by 2026, according to a November 2022 report by Technavio, a global advisory and technology research company.

The report mentioned Ledger as one of the companies that will help the crypto wallet market reach the projected valuation. Other companies that will contribute to the growth of the crypto wallet market include, but are not limited to, Binance Services Holdings Limited, BitPay Inc., Exodus Movement Inc., Gemini Trust Co. LLC, Trezor Company, and ShapeShift AG.


image of tony fadell holding a cryptocurrency hardware wallet. The image has a blue background

iPod creator Tony Fadell launches crypto wallet