Overstock Pays Corporate Taxes In Bitcoin
Overstock has once again reaffirmed the fact that cryptocurrencies have a role to play in the mainstream sector. The e-commerce company has set a new record on becoming the first company to pay corporate taxes in Bitcoin (BTC).
Bitcoin For Corporate Taxes
The company made the payment through a payment portal launched by the state of Ohio last year. The state launched the platform all in the effort of taking advantage of the cryptocurrency spectacle that continues to grow in popularity. The portal provides the likes of Overstock a way to make good use of cryptocurrencies, generated from various operations.
According to Overstock CEO, Patrick Byrne, the launch of such cryptocurrency portal would allow the U.S to stay ahead of the pack when it comes to digital revolution.
“We have long thought that thoughtful governmental adoption of emerging technologies such as cryptocurrencies is the best way to ensure the U.S. does not lose our place at the forefront of the ever-advancing global economy,” said Byrne.
Overstock was one of the first companies that add support for cryptocurrencies on its e-commerce platform. The company has remained a big proponent in recent years having added support for a wider assortment of digital currencies. The company is also working on a blockchain project as it seeks to leverage technology to enhance operational efficiency.
Cryptocurrencies Mainstream Acceptance
The state of Ohio is leading the pack when it comes to cryptocurrency adoption. The state has made it easy for people to pay up to 23 types of taxes using BTC and BCH. Overstock on its part used Bitcoin to clear a part of its commercial activities taxes.
The benefits of clearing taxes in cryptocurrencies are slowly becoming evident. For starters, cryptocurrency payments in the portal only incur a 1% charge compared to a 2.5% charge incurred on credit cards. Overstock did not incur any charges as it made payments before the deadline on fees exemption.
Ohio is considering expanding the type of taxes that people can pay using cryptocurrencies. The expansion seeks to take advantage of the growing popularity and adoption and cryptocurrencies as a preferred means of payment.The state’s treasurer, Josh Mendel has also confirmed plans to add support for other cryptocurrencies.
However, increased support for cryptocurrencies comes at a time of growing uncertainty. For starters, a good number of cryptocurrencies lost more than two-thirds of their market value last year. However, that has not stopped people from betting big on cryptocurrencies, having become clear they are here to stay.