There are many ways to fix this. De minimus as I said, or simply declaring "it's a currency." It's not like you have to report capital gains if you pay for a coffee in Euros in Paris. It's ludicrous that USA'ans are expected to do the same with BTC.

But until this is fixed, it's like cannabis pre-legalization. You're going to have all the "cool kids" skirting the regulations because they've got their dealer hookup or grow their own... which is fine... But it doesn't scale to the masses.

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Brits have to report too “officially”. You are “meant” to report all realisations (which includes spending Bitcoin for a coffee) entirely because it is classed as an asset and not a currency. And yes until that definition is changed within a legal framework, people will still transact.