The International Monetary Fund (IMF) released the 7th edition of its Balance of Payments Manual (BPM7), introducing new classifications for Bitcoin, stablecoins, and other digital assets.
Bitcoin and Crypto Get a New Category
The new manual categorizes Bitcoin and similar cryptocurrencies as non-produced non-financial assets, which places them on capital accounts. Unlike fiat currencies, Bitcoin is not backed by any entity and is a purely digital asset. In contrast, stablecoins are classified as financial instruments as they are backed by fiat, bonds, or commodities.
New Rules for Ethereum and Altcoins
The IMF has clarified the handling of crypto assets like Ethereum (ETH) and Solana (SOL), which power blockchain networks with governance features, treating them as equity. This is especially relevant when token holders reside in different countries.
Staking and Mining Recognized as Economic Activities
BPM7 categorizes staking, mining, and yield-bearing crypto activities as service production, potentially leading to new tax implications. Staking rewards are seen as similar to equity dividends.
The BPM7 guide, which over 160 nations use, could impact how Bitcoin and other digital assets are taxed and regulated globally.
