Paying or getting paid with digital coins is the norm in the cryptocurrency sector. ... Some platforms facilitate crypto payments between companies and their employees, while peer-to-peer settlements remain a viable option as well.
Next, how does the creator of Bitcoin make money?
Satoshi Nakamoto's net worth would be derived from the 980,000 bitcoins he, she, or they are estimated to own. These coins are likely to have been obtained from mining the nine-year-old cryptocurrency early on. The funds have stayed untouched for years. So, Satoshi Nakamoto did make rougly 11,291,805,000$.
For that reason, can my employer pay me in Bitcoin? The IRS treats bitcoin and other virtual or cryptocurrencies as property, not as currency. And, the Fair Labor Standards Act requires that employers pay employees in “cash or negotiable instruments payable at par.”
Into the bargain, should I pay tax for Bitcoin?
If you buy bitcoin and hold it for more than a year, you pay long-term capital gains when you sell. For federal taxes, that means you pay a 15% tax on any gains, unless you make a lot of money (more than $479,000 (for married couples) or $425,800 (for individuals)), in which case you pay 20%.
Do you get real money from Bitcoin?
There are several ways to convert bitcoin to cash and ultimately move it to a bank account: Sell bitcoin on a cryptocurrency exchange, such as Coinbase or Kraken. This is the easiest method if you want to sell bitcoin and withdraw the resulting cash directly to a bank account. ... Deposit (or buy) BTC into your account.