Just three hours after I appeared on BNN's 'Disruptive Technologies' segment last Friday and hinted how The Sovereign Exchange can provide the Bitcoin community with a gateway to tap the purchasing-power of their virtual currency (with 350,000 business people), an article appeared on the CBC website announcing that Bitcoin transactions aren't tax exempt and that "Barter transaction rules apply where BitCoins are used to purchase goods or services." The article does not cite a ruling or bulletin, just a friendly reminder from the CRA to voluntarily comply with their authority ..."such as when a farmer who grows vegetables trades with another who raises chickens." Check.

Canada's banks have also ramped up their efforts to insure that you and 'their' money are safe from Bitcoin. Canadian Virtex, Canada's largest volume operator, had their Scotia account terminated last week after RBC severed all ties on April 8th. These moves validate the argument that this little crypto-currency is a technology to be taken seriously; it is also a sign of their fear -- they know that your trust is their Achilles heel. Their attempts to stymie the Bitcoin will of course have the opposite effect, just as their recent take-down of silver and gold prices has caused a world-wide run on physical metal. There are too many millions of us that see through their Ponzi's and pathetic false flags, and the Bitcoin, like bullion if you can find it, provides us all a great opportunity to crash (and burn) their party.

The CRA told the CBC there are two separate tax rules that apply to the electronic currency, depending on whether they are used as money to buy things or if they were merely bought and sold for speculative purposes.