How Bitcoin Ordinals can be weaponized for tax avoidance:

I am in international waters.  But anyone can observe that in the US, the IRS considers words “wash sale” mean buying and selling the same asset for a tax loss.  For example, I buy Bitcoin and Tesla stock.  Bitcoin rises, and Tesla falls.  So to avoid paying tax on Bitcoin, I sell my Tesla stock and capture a capital loss.  Then I re-buy Tesla back.

The stock market already has rules against these “wash sales” where it doesn’t count the loss if you re-buy back the same asset in a period of time.  However, cryptocurrency does not have this.  The government is unhappy, and so they’re trying to push through rules that Bitcoin “wash sales” should not be exempt.

If I were to someday go to America, then I would say I am not just buying “some” Bitcoin, but instead it is the unique artistic Ordinal that sparks my inner passion.

Therefore, because the assets are not the same, and I would be investing solely because of the artistic nature of this new particular Ordinal, the new wash-sale rule would not apply.  Oh you can’t tell the difference?  Well my friend, you have no taste in art