‘An Act of War Against the Middle-Class’ — Americans Criticize Janet Yellen’s Idea to Tax ‘Unrealized Capital Gains’

'An Act of War Against the Middle-Class' — Americans Criticize Janet Yellen's, Democrat's Idea to Tax 'Unrealized Capital Gains'

The 78th United States secretary of the treasury Janet Yellen told CNN’s “State of the Union” on Sunday that U.S. lawmakers are considering taxing unrealized capital gains. According to Yellen, the funds collected would help finance things related to climate and social change. While Yellen said that U.S. senator Ron Wyden (D., Ore.) was working on drafting the plan, a great number of Americans have been criticizing the proposal on forums and social media.

Janet Yellen Discusses Unrealized Capital Gains Tax Proposal, House Speaker Pelosi Approves

The phrase “unrealized capital gains” has been trending on social media and forums during the last 24 hours after the U.S. secretary of the treasury Janet Yellen discussed the subject on CNN’s “State of the Union.” Yellen explained the concept, which aims to tax Americans on unrealized capital gains stemming from liquid assets. Of course, like the controversial $600 IRS monitoring proposal, Yellen stressed that the proposal was aimed at “extremely wealthy individuals, billionaires.” Yellen emphasized, however, that the tax was not a wealth tax.

“I wouldn’t call that a wealth tax, but it would help get at capital gains, which are an extraordinarily large part of the incomes of the wealthiest individuals and right now escape taxation until they’re realized,” Yellen said on CNN. She explained that the Democrat senator Ron Wyden was working on the proposal, and House Speaker Nancy Pelosi is backing the concept. Although, despite Yellen saying it wasn’t a “wealth tax,” Pelosi’s (D., Calif.) words were different when she told CNN on Sunday: “We probably will have a wealth tax.”

.@SecYellen on the proposed tax which would pay for the Build Back Better act: "It's not a wealth tax, but a tax on unrealized capital gains of exceptionally wealthy individuals." pic.twitter.com/7JXAysPkxI

— The Hill (@thehill) October 24, 2021

Pelosi thinks the unrealized gains tax will help fund the $2 trillion spending bill and said the spending bill package was “pretty much there” and lawmakers are finalizing some of the “last decisions.” While Yellen, Democrats, and CNN have been lauding the idea of taxing unrealized gains, Americans are upset about the idea and consider it “unconscionable.”

Political Commentators, Libertarians, Crypto Enthusiasts Scorn Yellen’s Proposal — ‘Tax on Unrealized Gains Is Legal Plunder’

The 2020 Libertarian vice presidential candidate, Spike Cohen, said “This is unconscionable. For those who don’t know, an ‘unrealized gain’ is when something you own gains value, but you don’t sell it. You know, like your house. Or your retirement fund. So now you have to sell it, to pay the taxes. If implemented, this would be an act of war against the remaining middle-class folks who still actually own things,” Cohen added.

Cryptocurrency supporter and Galaxy Digital CEO Mike Novogratz shared his two cents about unrealized gains on Twitter. “Maybe try eliminating [the] step-up basis first. And carried interest,” the billionaire investor said. “That would be a start. Unrealized gains on illiquid securities would be [an] unmitigated disaster.” Independent journalist Jordan Schachtel explained that “taxing unrealized gains is only minimally about taxation itself. That’s not the bigger objective,” Schachtel remarked. The journalist added:

Taxing unrealized gains grants the government the ability to monitor your each and every move.

Nearly every post on social media and forums concerning this subject is littered with commentary that indicates Americans think taxing unrealized gains is a horrible idea. Except for mainstream media publications like the Wall Street Journal, Washington Post, The Hill, and other publications that continue to argue that the tax is aimed at the “billionaire-class” and “exceptionally wealthy individuals.” American journalist and Youtuber Tim Pool said that the proposal is merely a trick on people with no money.

“Wealth Tax, Unrealized gains, whatever,” Pool tweeted. “It’s a trick rich people are pulling on poor people who don’t understand how finance and the economy works. Wealth taxes will not do anything, people really don’t understand the power of that vast wealth.” Bitcoin proponent Stephen Livera stressed on social media that “Tax on unrealized gains is legal plunder. They created this mess and now they’re looking to pass the cost to the people.”

Forcing people to sell their assets is totalitarian. It’s antithetical to a free market and will cause second and third order effects that will be devastating to an economy.

This is actually what taxing unrealized gains will do. #bitcoin

— Neil Jacobs (@NeilJacobs) October 25, 2021

The evolutionary behavioral scientist and well-known author Gad Saad noted sarcastically that the unrealized gains tax was a good concept. “This sounds like a good idea,” Saad said scornfully. “Also, we should engage in punitive action on unrealized crimes. You find the person who looks guilty and you preemptively give them the chair (for community cohesion and diversity),” the author concluded.

What do you think about Janet Yellen and Nancy Pelosi telling Americans that lawmakers are planning to push through an unrealized gains tax in the upcoming $2 trillion spending bill? Let us know what you think about this subject in the comments section below.

Original Article

Iris Scanning Worldcoin Idea Fuels Objections From Privacy Advocates — Snowden Says ‘Don’t Catalog Eyeballs’

Iris Scanning Worldcoin Idea Fuels Objections From Privacy Advocates — Snowden Says 'Don't Catalog Eyeballs'

During the last few weeks, a project called Worldcoin has been the subject of numerous headlines and speculation. Worldcoin launched on October 21 and aims to be a universal basic income (UBI) crypto asset that gives free tokens to accounts that are verified with a biometric eye scan. The project has privacy advocates reeling and whistleblower Edward Snowden slammed the project’s creators and said “don’t catalogue eyeballs.”

Worldcoin Turns Heads in the Crypto World as It Wants to Scan Your Eyeballs in Exchange for Free Crypto

There’s a new cryptocurrency project that is turning heads because of the way it disperses funds to network participants. The project Worldcoin was introduced to the world by Alex Blania and Sam Altman and the team hopes to get one billion people using the crypto asset by the end of 2022. Worldcoin launched on October 21, and the founders have raised $25 million from strategic investors like Blockchange, Coinbase Ventures, Andreesen Horowitz, and Linkedin co-founder Reid Hoffman.

Worldcoin is essentially a universal basic income crypto concept because the users of the network get free tokens. However, Worldcoin developers created an orb-shaped device that people have to look into in order to obtain a unique identifier. Essentially, the orb scans the person’s iris in order to create a unique identifier and verify the user. “Iris recognition ensures uniqueness, fraud resistance, and practicality,” the Worldcoin intro blog post details. Sam Altman was once the president of the startup accelerator Y Combinator and he came up with the idea two years ago.

“I’ve been interested in things like universal basic income and what’s going to happen to global wealth distribution and how we can do that better, is there a way we can use technology to do that at a global scale,” Altman explained to Bloomberg last week.

Iris Scanning Worldcoin Idea Fuels Objections From Privacy Advocates — Snowden Says 'Don't Catalog Eyeballs'

According to the project’s team, around 30 orbs that can scan people’s eyes and create a unique identifier are located all across the world. Worldcoin orbs can be found in France, Sudan, Indonesia, Kenya, and Chile. Worldcoin’s orbs are maintained by “Orb Operators” who get rewarded for soliciting potential Worldcoin participants. Depending on when the person got in on the project, token recipients can get between $10 and $200 worth of the digital asset worldcoin (WC).

Worldcoin Described as an MLM and ICO — Worldcoin Idea Makes Edward Snowden Explain His Disdain for Biometrics

Many crypto and privacy advocates have spoken out against the Worldcoin project. The CTO at Bitfinex, Paolo Ardoino, discussed a possible future with Worldcoin. “Imagine that you’re living in a cyberpunk world, with 1984 style of govt. control and worldcoin eyeball scanners at every corner of the street,” Ardoino remarked on Twitter. “Which type of apparel would you need to go around the city and protect your privacy?” the Bitfinex CTO asked.

Iris Scanning Worldcoin Idea Fuels Objections From Privacy Advocates — Snowden Says 'Don't Catalog Eyeballs'

Others have said that the Worldcoin project is similar to 2017’s initial coin offering (ICO) scams. “Let me sum up how bad Worldcoin is,” an individual on Twitter stressed. “[It says] distributed ‘fairly’ yet the team gets 20% of the supply and every major VC is invested. User acquisition model imitates that of an MLM (Herbalife). Privacy policy permits them to give your data to 3rd parties. [And] the name resembles a 2017 ICO scam.”

Iris Scanning Worldcoin Idea Fuels Objections From Privacy Advocates — Snowden Says 'Don't Catalog Eyeballs'

The popular whistleblower Edward Snowden scorned Sam Altman’s Worldcoin intro tweet as well. “This looks like it produces a global (hash) database of people’s iris scans (for ‘fairness’), and waves away the implications by saying ‘we deleted the scans,’” Snowden said. “Yeah, but you save the *hashes* produced by the scans. Hashes that match *future* scans. Don’t catalogue eyeballs,” Snowden added.

Snowden continued his Twitter thread showing a distaste for biometrics. “Don’t use biometrics for anti-fraud,” Snowden further remarked. “In fact, don’t use biometrics for anything. ‘We use ZK-proofs.’ Great, clever. Still bad. The human body is not a ticket-punch,” he noted.

What do you think about the Worldcoin project and the critics who believe the biometric iris scanning idea is not good for privacy? Let us know what you think about this subject in the comments section below.

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Terraform Labs CEO Do Kwon Is Suing the SEC

do kwon

Do Kwon, co-founder and CEO of Terraform Labs, the company that backs the Terra blockchain ecosystem, is suing the U.S. Securities and Exchange Commission (SEC). Kwon, who was served a subpoena while appearing at Messari’s Mainnet conference as a presenter, states this behavior was against the SEC’s own policies, and that they needed to go through proper channels to deliver the subpoena.

Do Kwon Takes the Fight to the SEC

Do Kwon, the co-founder and CEO of Terraform Labs, the company behind the design and creation of Terra, a smart contracts-enabled cryptocurrency, is suing the SEC over an incident that happened during the latest installment of Messari’s Mainnet conference. He had been conducting conversations with the SEC about possible actions against Mirror Protocol, a decentralized app that tracks prices of stocks for synthetic assets.

The lawsuit explains the SEC had contacted Kwon in May to talk to him about the operation of Mirror Protocol, and the connection of Terraform Labs with the company. Kwon met with SEC lawyers voluntarily and answered their questions during a five-hour interrogation. The SEC then asked for Terraform to voluntarily produce documents on the subject.

This back and forth between the SEC and Kwon’s lawyers reached a breaking point in September, when the SEC, still having conversations with Terra’s parties, decided to issue subpoenas for Terraform Labs and Kwon using a private company called “Cavalier Courier And Process Services” to deliver these at Messari’s Mainnet.

Illegal Procedures

According to court documents, the SEC lacks jurisdiction over Terraform Labs and Kwon. The lawsuit states that:

The SEC attorneys were well aware that TFL and Mr. Kwon had consistently maintained that the SEC lacked jurisdiction over TFL and Mr. Kwon, and at no time asked Dentons lawyers whether it was authorized to accept service of subpoenas.

In addition to this, the lawsuit states that the SEC also broke its own rules regarding the management of these incidents. The subpoenas were served in public, and in fact, one of the assistants at Messari’s Mainnet witnessed the delivery of these subpoenas. This goes against SEC policy that states these formal matters should be kept confidential until stated otherwise by the institution.

The lawsuit asks for the subpoenas to be considered void, and also asks for damages, including attorney fees and further relief, as the court deems appropriate.

What do you think about the lawsuit Do Kwon has launched against the SEC? Tell us in the comments section below.

Original Article