I guess my point was being from the US, I keep track of everything but the rules are pretty clear here (at this point). Taxable events are conversions from one asset to another. The first 40k of long term capitals gains are not taxed at the federal level. The lack of conversion would make me say this doesn’t count.
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At the end of the day it’s the same assets represented in a different form, I’d use that as a reason and not declare it personally.
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I’m still confused about the poll. What does “moving from OMNI to ERC20 in the coming months” actually mean and what is a “full conversion”? I don’t think we should be forcing anyone to convert if that’s the intent of the poll.
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For real, how long?
Edit: 12 months.
Thanks for that bit of info I had no idea.
I voted yes but will need step by step instructions, in simple English not tech speak, of what to do
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I imagine things like this. Whoever wants to turn his OMNI tokens to ERC20 do it. Whoever does not want just keep them as is, having the right to swap them in the future (the smart contract knows that it owes ERC20 tokens to all who have held OMNI tokens on the specific date). When the Safe network start, anyone who wants to get Safe tokens will have to go through ERC20, but this is ahead in the future and if you will not sell now you do not need to do it now.
Privacy. Security. Freedom
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The first 40K of capital gains are only not taxed if you have no income. If you make over 40K /year every cent of capital gains are taxed, just at a lower rate if long-term vs. short-term.
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This is not the place for the convo but that provision is great to use in a child’s account who has no income and the threshold is higher if your single/HOH ect.
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David has said previously when deus was looking at creating a bridge only omni maid would be honoured.
Not saying he wouldn’t change his mind, but thats the last I heard on the issue.
The question in the OP is by David. Read the quotes from him. He is asking us if we think that it is ok to make a full swap now.
Privacy. Security. Freedom
Is it all or nothing by address? Or does the contract track how many have been converted by address and therefore how many are left since it knows how many started at each address?
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I don’t think you can add such a functionality to the contract. What I have always used and the only thing I have seen was for 100% swap from an address.
Privacy. Security. Freedom
Both Thorchain and Sifchain are about to launch crosschain DEX’s. It may be worth waiting to see if they implement OMNI. Both will allow crosschain bitcoin trading.
SIFchain THORchain
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Thanks for clarifying. So someone in the know could split their MAID into however many addresses they want ahead of the snapshot. But someone who didn’t do this would have to convert their entire balance in a given address and deal with the potential tax consequences just to sell a small amount.
One other concern I have is that the value of MAID will go to 0 (or freeze at some arbitrary value) once this full ERC20 conversion is implemented as the only way to buy or sell is to go to eMAID first. This is going to cause some angst for those not fully engaged with the forum to understand what happened and how to deal with it. Would be smoother and drive more volume if we could go back and forth between MAID and eMAID.
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The price of MAID is taken from the exchanges, there will be a freeze trading for 1 day and the price will be displayed the same in the coin market, but it will not be 0…
Privacy. Security. Freedom
I don’t understand all the details, but I voted Yes because of better wallet support for ERC20.
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Algorand did the swap in exchanges and people could keep omni tokens, from what i read in the link
Do I need to go through a KYC process to get the ERC-20 tokens?
You will need to create an account on the exchanges and follow their KYC process. If you already have an account with the exchange, you might not be required to go through the KYC process again. You should follow the exchange policy and procedure.
What will happen to my Omni based Agoras tokens if I do not want to convert to ERC-20?
You can choose to keep them in your Omni wallet. You will be able, from time to time, to switch the tokens to the ERC-20 tokens (or the main-net-based AGRS tokens in the future). To reiterate the former statement, if you choose to keep your Omni tokens, you will not lose your right to claim the future main-net-based AGRS tokens.
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There are tested ETH smart contracts that do the same without KYC. I have used one in which people controlling 300 000 bitcoins claim an ERC20 token.
Privacy. Security. Freedom
I used to be in favor of this, but I’m not anymore:
ERC20 is absolutely no guarantee exchanges are willing to list us moving forward. I know several mid tier exchanges that still require 2 to 5 BTC “integration” fee, even for ERC20.
Sure, we can add ourself to Uniswap which is great. On the downside however, we risk getting delisted from the 3 exchanges that we currently have. If it’s a full swap, you force exchanges to cooperate (they’re not that willing during a bull cycle) and additionally, they might charge the project for re-integration from ERC20. If it is not a full swap we risk very low liquidity on the Omni pairs, which is already an issue, also risking to get delisted.
I know this idea might sound good at first but it would require a ton of effort and caution. There is absolutely no way this can be pulled off by the community as the entire transition should be communicated with the current exchanges we (they wont talk to community members) and preferably we contact A tier exchanges first to see if a ERC20 transition would set us for a potential listing (they also wont talk to community members).
As much as I like community initiatives for the Safe Network, I think that without full involvement of @dirvine and the team this is dangerous to pull off.
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Good points.
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