Sales of crypto currencies are expected only until mid-April. US crypto holders owe the state billions of dollars in capital gains taxes. At the end of March, the IRS recalled that virtual or digital currencies are taxable, as are asset transactions. The IRS (Internal Revenue Service) is the federal tax authority of the United States and reports to the Treasury Department. If somebody does not file his tax return properly by mid-April, he can expect high fines. Effects on the crypto market: These tax sales have reinforced the weak start of the year, but it is to be expected that the bulls will return after April 17, the tax day. The acceptance of Crypto continues to grow!
2. Why is Lightning a game changer?
Lightning can turn Bitcoin into cash. This means sending 0.00000001 Bitcoin without fee, directly from user to user. There are practically no scaling limits, no VISA, no Ripple or DPoS can process any number of payments per second. Lightning can. You can find a good summary here: https://lightning.network/lightning-network-summary.pdf. Lightning means payment consensus in the millisecond range - up to seconds. The payment is then also already completely done, not as with a bank transfer or credit card only guaranteed and must still be processed. Atomic swaps can easily convert anything: lightcoin to bitcoin to dogecoin or whatever - only sha256 is required. At last real micropayment down to the street vendor in every country! The global economy can thus reach a new level. Mining will be gradually phased out because fewer and fewer bitcoins are created and fees are only due when a payment channel is closed.
It is to be expected that this awareness of Lightning will already become established in 2018. Then a further very, very strong up of Bitcoin can be expected. All lightning compatible nodes (coins) will behave similarly. Even dogecoin could make sense in the micopayment area. The basic idea is that the cryptos that can be addressed with lightning will accumulate most of the market capital. A further part will be accounted to the Turning machines, those that can execute smart contracts (ETH, NEM , NEO, gaphene, bitshares, Decent, verge etc). Then come special applications such as Monero, Dash, zCash, Metronome, Steemit or Blockchain-as-a-service. For some time the Bitcoin Golds, BCash etc. will be kept, but they are more suitable for Bitmain/China because they don't want to give up mining. Ripple is not an open structure, actually not even a real crypto - but it could get a lot of attention because of access to the establishment of banks.
But what is even more important and speaks for Lightning... All coins whose mining can be produced by ASIC are firmly in the hands of Bitmain. Mining is intended to decentralize the transactions, the opposite is the case. PoW (Proof of work) is no longer a meaningful matter and should be replaced by PoS (Proof-of-Stake). That means PoW is no longer state of the art. ETH is working on Caspar, Bitcoin on Lightning. Although Lightning is not a real PoS , it solves the scaling problem and can accordingly establish itself as a quasi PoS solution.
All in all, we can look to the future of Bitcoin , Litecoin and Co. with confidence... That's how I see it now.
Let's see what happens. Happy trading. :-)
Also have a look at my new chart: "Why Trend Reversal and Bitcoin is headed to the next Moon?"
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