Shytoshi Kusama, the mysterious lead developer at the helm of the Shiba Inu SHIB/USD ecosystem, praised the UAE administration for exempting cryptocurrency transactions from value-added tax (VAT).
What happened: In an X post on Sunday, Kusama responded to news of the exemption with a GIF of Vegeta, a character in the popular anime series Dragon Ball. The pseudonymous personality dubbed the UAE the "cryptocurrency capital."
Last week, the UAE’s Federal Tax Authority amended the country’s VAT laws, which, according to accounting giant PricewaterhouseCoopers (PwC), will eliminate taxes on the transfer and conversion of virtual assets.
Pwc added that the exemptions would be applied retroactively from Jan.1, 2018.
Note that the UAE does not levy federal-level income tax on individuals. However, it levies a 5 % value-added tax on the purchase of goods and services.
See Also: Bitcoin ‘Not A Safe Haven’ But Rising Trump Odds Could Fuel A Rally: Standard Chartered
Why It Matters: The exemption was the latest in a series of active steps taken by the UAE administration to pitch the country as a cryptocurrency-friendly destination.
Earlier this year, the world's largest cryptocurrency exchange, Binance BNB/USD secured a full regulatory license in Dubai, paving the way for the juggernaut to offer virtual asset-related services to a broader range of customers.
Last week, Ripple Labs XRP/USD got an in-principle approval to offer blockchain-enabled payment services from the Dubai International Financial Centre (DIFC).
Interestingly, Kusama has been impressed by the UAE’s cryptocurrency landscape in the past and expressed admiration for the culture and his connections there.
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