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    <div class="moz-cite-prefix">In my experience, Paypal DOES report to
      governemnts, over a certain amount. This is mandatory for them.<br>
      <br>
      The grids, like any other commercial service, are supposed to
      report their own transactions (how much virtual currency they
      sold) but may escape from the rules of a banking service like
      paypal (report what the users earned), at least as far as there
      are a few transactions.<br>
      <br>
      It brings an interesting question. If I sold this year 1000 "MUC"
      (My Own Currency) for, keep it simple, 1000 EUR... These are in my
      users' accounts, and they will spend it and, some day, they will
      ask a refund, so this is not my money. How do I calculate what I
      really earned? If I don't make it clear, the tax controlers may
      consider my 1000 EUR as benefit and I will have to pay taxes on
      money somebody else owns. That's why reporting users transactions
      is not only a requirement, it would also be safe practice to avoid
      paying taxes on behalf of users.<br>
      <br>
      <pre class="moz-signature" cols="72">
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      Le 19/12/2014 07:09, M.E. Verhagen a écrit :<br>
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    <blockquote
cite="mid:CA+RcaTSAyydXe6nz5xJRwOWm=143ywh6W_xh8SdigwYNtEGpFg@mail.gmail.com"
      type="cite">
      <div dir="ltr">I do not think paypal, omc, podex or others are the
        virtual currency providers of the grids. The grids sure have do
        their taxes in the country the reside in. 
        <div>There is no such requirement thing for the grids to report
          transactions over a certain amount. (The banks in the eu have
          got some rules about reporting large transactions and so, but
          there does not exists such a requirement for the companies
          living here.) </div>
      </div>
      <div class="gmail_extra"><br>
        <div class="gmail_quote">2014-12-19 3:27 GMT+01:00 John Sheridan
          <span dir="ltr"><<a moz-do-not-send="true"
              href="mailto:john@pseudospace.net" target="_blank">john@pseudospace.net</a>></span>:
          <blockquote class="gmail_quote" style="margin:0 0 0
            .8ex;border-left:1px #ccc solid;padding-left:1ex">
            <div text="#000000" bgcolor="#FFFFFF"> Correct me if I'm
              wrong, but aren't virtual currency providers required to
              register with the government now (ala BitCoin)? I know on
              the SL side of things they made some changes wherein those
              who cash out over a certain amount yearly need to register
              their tax information.  Maybe it would be worth running
              this past your lawyer or accountant?
              <div>
                <div class="h5"><br>
                  <br>
                  <br>
                  <div>On 12/18/2014 05:18 PM, Ethan Grammatikidis
                    wrote:<br>
                  </div>
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                  <div class="h5">
                    <div>On Thu, Dec 18, 2014, at 02:07 PM, Erik Gordon
                      Bainbridge wrote:<br>
                    </div>
                    <blockquote type="cite">
                      <div><span style="color:rgb(64,64,64)"><span
                            style="font-family:"arial""><span
                              style="font-size:10pt">What are the
                              advantages and disadvantages of using
                              Paypal as a grid currency rather than OMC
                              or Podex?  I'm interested in the
                              perspectives both of people who sell in
                              grids and of grid owners.  I am building a
                              grid for a company that wants to use a
                              Kitely model of fictional currency
                              combined with Paypal instead of using OMC
                              or Podex.  I think the complexity of
                              setting up fictional currency + Paypal
                              could outweigh the advantages.  I need
                              both perspectives so I can give my client
                              the best advice. </span></span></span><br>
                      </div>
                    </blockquote>
                    <div>
                      <div> </div>
                    </div>
                    <div>What? OMC and Podex both offer "fictional
                      currency" backed by real money. Any grid with an
                      exchangeable currency provides "fictional
                      currency" backed by real money in one way or
                      another. Your choice is whether to contract with a
                      company (OMC or Podex) which specializes in this,
                      or to making your own system. <br>
                    </div>
                    <div> </div>
                    <div>Making your own system doesn't just mean
                      writing code, you will also have to choose what
                      rules to apply. If I were doing this, I'd think
                      deciding on the rules would be harder work than
                      writing the code.<br>
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