I see this going very wrong, very fast. Let's say that the proposed NFT tax goes into effect. Which it should in some form, because all income should be taxed.
My understanding is that NFTs are taxed as income based on value on obtaining them. So you earn an NFT worth $1000 in a game, but then the value craters as crypto currencies often do. Suddenly, you're on the hook for $1000 of income you don't actually have, for no reason other than that you played a video game.
If ever tax regulation does come, you wont be taxed on unrealized gains. Earning an NFT that you do not sell triggers no taxable action.
Imagine an unrealized gains tax. A baker who bakes a cake would inccure a tax.
What about taxing virtual property?
In real life property taxes are based on lands highest possible use.
Partial exemptions on it's value are given if one "lives" on the land, and one can get big exemptions if the land is used as agricultural.
Not unusual to see a piece of property with cows grazing on it in the middle of a completely developed area.
Imagine if all of these sorts of shenanigans come to gaming.
As for your cake example, VAT or sales taxes would have been already collected on the ingredients, water, electricity and wages used to bake it, even if the cake never gets sold.
Big fun ahead I think...
Oh yeah, come to think of it, block chain should make it much easier to identify when and who to tax in each step due to everything being assigned unique identifiers....
Actually, that will be great hahahhaha. Aside from learning how to use cryptocurrencies on the game payment methods, players must also be able to pick up the values that characters have. more often than not, the strategies used in the game can sometimes be applicable in solving real life problems. All it takes is for players to see it that way and realize how they can apply what they learned.
I want posters to think about the effect of bringing money into gaming. Imagine how problematic that will be for guilds' are the guilds there to make you money? It will efffect the whole ethos of how a guild is run, for money not fun. We have a gaming community that has called out the police on their online opponents simply for annoying them online. Now add money to that.
Talking of which I wonder how much longer "fun" will remain a gaming buzzword does not "earn" sound so much better. That is the sea change we are seeing here.
"as many players aren't all that keen on seeing NFTs and other potentially predatory and environmentally descructive business models encrouch on gameplay, especially those who use games as a way to relax from a hard day of work."
Go to work and then come home and work, wonderful.
Comments
"HELP my Avatar is stuck! It's been stuck for 4 days This is not right! You're going to pay for this!"
https://fortune.com/2021/12/13/metaverse-personal-injury-lawyer/
"What we have no insurance? This matter of insurence should have been handled by my agent!"
https://www.vox.com/recode/2021/12/2/22812608/metaverse-real-estate-meta
I am taking the bait, that is utter tosh.
Talking of which I wonder how much longer "fun" will remain a gaming buzzword does not "earn" sound so much better. That is the sea change we are seeing here.
"as many players aren't all that keen on seeing NFTs and other potentially predatory and environmentally descructive business models encrouch on gameplay, especially those who use games as a way to relax from a hard day of work."
Go to work and then come home and work, wonderful.