Bitcoins-Global Currency Local Taxability

Introduction

Currently, each country has its own currency and it derives its value and trust amongst its users from the sovereign backing. It is tangible in nature and its transaction is facilitated and its balances are maintained by trusted third parties like Banks. Each currency derives its value in the international market on the basis of its demand and supply. It is regulated by the Central Banker of each country and it is not universally acceptable and may be required to be exchanged with other currencies during the course of international trade and commerce. The value of currency fluctuates due to several factors including the political and other circumstances in a particular country.