Bitcoins are virtual currency
Bitcoin is a type of “virtual currency” that began operation in 2009. BTC and XBT are used for symbols.
In the virtual currency, there is no central bank like the usual “currency”. Issuing and managing Bitcoins is done by a network of computers all over the world.
The Bitcoin trading system has the advantage of being able to communicate directly with “individuals and individuals” without requiring “third parties like banks” by the block chain technology.
By doing this, you can trade yourself and your personal information without being notified, you can pay a fee to a third party or charge fee free, or cheaply.
How to use Bitcoin
Bitcoins can be used as a consideration for goods and services like ‘money’. It can be used for online shop settlement, payment at a real shop, etc.
In addition, credit cards that can charge Bitcoins have also appeared, and it seems that the environment in which Bitcoins can be used will spread in the future.
How to purchase Bitcoins
To purchase a Bitcoin, you need to open an account at the “exchange” that offers the Bitcoin transaction service first. After that, I will purchase a Bitcoin by crediting into my account by bank transfer or other means.
There are also other payment settlements, convenience store payments, etc. You can also purchase with a credit card. There are many exchanges both in Japan and abroad, but if you are buying a Bitcoin for the first time, we recommend a domestic exchange that supports Japanese.
Exchanges in Japan trading Bitcoins include BitFlyer, Coincheck, Zaif, etc. It deals with virtual currencies other than Bitcoins.
BitFlyer Bit If you start coining at a safe and secure exchange
The easiest way to buy Bitcoins in Japan Exchange ex coincheck Bitcoin
How to store Bitcoins
Bitcoins can be stored or delivered using a storage function called Wallet. It is like a “wallet” of a virtual currency such as a Bitcoin.
Since there are differences depending on purpose of use and functions in Wallet, when introducing Wallet please thoroughly consider whether your purpose of use and Wallet’s function match.
Wallet functioning with OS such as PC or smartphone (when storing in personal computer or smartphone)
Wallet functioning only with a dedicated terminal (when storing in dedicated hardware)
Wallet functioning on the Internet (when storing in web service)
A wallet that functions by printing a bar code on paper (when storing it on printed paper)
Investment of Bitcoins is a procedure of selling when purchasing price increases, but virtual currencies such as Bitcoins suffer heavy price fluctuations.
For example, in the case of Bitcoins, it was in the 20,000 yen range in 2015, but in 2016 it exceeded 50,000 yen and in 2017 the price rose to nearly 300,000 yen.
About 15 times in about two years can be said to be an attractive investment that can not be tasted by investment such as other stocks and FX. In addition, on the other hand, the price plummeted, and in January 2017, there was a case where it plummeted nearly 30% in one day.
Even though there are risks in any investment, investment in a virtual currency like a Bitcoin, in addition to the risk of sudden price fluctuation, the exchange loses the Bitcoin like the “mount gocks riot” Sometimes.
Those who start investing in Bitcoins should start with a small investment with surplus funds after fully recognizing the risks and returns unique to virtual currency and invest in full swing after having experienced.
Tax will not be charged if you have virtual currency such as Bitcoin. Under the tax law it is treated as the same ‘asset’ as land and buildings.
However, if you sell a Bitcoin you have a profit, you will be “transferred income” and you will be taxed income tax, so please be careful.
There is a “special deduction framework” of 500,000 yen in transferred income and it is not necessary to file an income tax as income tax is not applied if it is “less than 500,000 yen” together with the profit of transfer obtained in other trading in one year.
There are also many uncertainties about the treatment of tax concerning the virtual currency, and there is a possibility that it will change in the future as well, so let’s consult with your tax office or tax accountant for details.