what are my tax implications for cryptocurrency? Do I pay any taxes to purchase or sell bitcoin? If I use a Bitcoin debit card and withdraw USD from an ATM, is it a taxable event?
In the United States, Bitcoins are treated like a commodity asset, not like cash. So when you buy something with Bitcoins or exchange Bitcoins for dollars, you have a taxable capital gain on the difference between your basis in the Bitcoins and the value you got for the Bitcoins.