The other day I was reading this really great post by @edicted. You can find the post here. There was a section that talked about how the current tax laws can't even begin to cope with the complexities of cryptocurrecy. There was a point made about the parallels between crypto holders and the early .mp3 downloaders and how the 1% were dragged into court to serve as an example to everyone else.
Please take the time to read the whole post, it is a really great read.
Anyway, it got me thinking.
I am a pretty small fish. There is little chance the IRS or whoever would come after me to be an example, but if they did, I would probably be screwed. Paying for lawyers, accountants, or whatever would not be much of an option if I wanted to still be able to pay my mortgage. So what would I do?
Then I got thinking about the price of BTC and ETH are rising so exponentially lately and how at any point they could rise even higher. There is a group of people who are sitting on a ton of money. More than they will probably ever be able to reasonably spend in their lifetime.
Why not create some form of non-profit that can help anyone who finds themselves in hot water due to simply holding cryptocurrency. It could be staffed with lawyers, accountants, finance experts, etc. and those people could help others navigate the rough waters of this ever changing domain.
Let's say I am a whale holding a hundred million or so in crypto. At that point they could totally spare a million dollars to donate to the foundation. They probably lose more than that in one day on a bad trade (or, ahem, ETH gas fees). What if I only own a couple million in crypto? I could totally spare $100,000. I know a foundation would take a lot of money to run, but even if you get five whales from any chain to donate, it would add up over time.
Then I got thinking this morning, what else could the non profit do to bring value to end users. I started contemplating the idea of crypto/blockchain startups and how difficult the laws can be depending on the country for them. What do you have to do to avoid being considered a "security", etc. There are probably lots of people with awesome ideas that will never come to fruition. While they have the skill, they don't understand the legal or political pieces that would allow them to launch a successful product.
Think of it as a Red Cross/United Way/ACLU but for crypto, standing in the gap for those small users and coming to their aid when they need it.
One of my colleagues mentioned that this could potentially be accomplished by the EFF (Electronic Frontier Foundation), but I think we would need something more focused specifically on blockchain and cryptocurrency.
Who knows, maybe it is something no one will ever need. I just know I got some positive feedback when I brought it up a couple of times yesterday, so I thought I would throw it out there.
All pictures taken by myself or @mrsbozz