Story image

Gartner: CEO and CFO’s should take note of Bitcoin...

15 Apr 2014

An article in the US print edition of the Wall Street Journal, titled, “Bitcoin Investors face The Real IRS“, reports how the IRS will treat Bitcoin and other virtual currencies like property such as stocks.

This means any increase in value will be a taxable event, and treated as capital gains. For Bitcoin specifically this means an increased need for record keeping and some attempt at reduced anonymity.

This IRS news also offers an opportunity for information centric organisations.

For such organisations that understand their information assets need to be valued and managed as assets, using Bitcoin as the valuation method could help add the information value to the balance sheet.

At a stroke, critical information assets can be quantified, insured, and accounted for in Bitcoins. As the value of information assets changes over time, simply account for the gain, or loss, in Bitcoins.

Such a change in how information assets are valued and accounted for will help end-user organizations quantify the value to their business of key information assets officially, publicly, and legally. At the same time, the value of Bitcoin as he medium of account will increase significantly.

Some organisations already accept Bitcoin as a medium of exchange: http://www.nasdaq.com/article/what-companies-accept-bitcoin-cm323438.

This IRS pronouncement will only increase its popularity. Valuing information assets with Bitcoin will only increase its use and value, and finally get the IRS to begin recognizing the importance of information assets.

By Andrew White - Gartner Analyst

Atos develops edge server with security in mind
The BullSequana Edge server is able to securely manage and process IoT data close to the source of data generation so that it is treated immediately.
Vocus slams ComCom mobile review as “disgraceful”
The Commission says there is no need for measures to improve competition in the NZ mobile market. Vocus says this decision will be “crippling.”
Virtustream launches new services for cloud applications
The new suite of professional and managed services expands Virtustream’s enterprise application and services solutions.
Secureworks Magic Quadrant Leader for Security Services
This is the 11th time Secureworks has been positioned as a Leader in the Gartner Magic Quadrant for Managed Security Services, Worldwide.
Sony and Microsoft to explore strategic partnership
“Our partnership brings the power of Azure and Azure AI to Sony."
Google puts Huawei on the Android naughty list
Google has apparently suspended Huawei’s licence to use the full Android platform, according to media reports.
Fujitsu and Veeam partner to offer simplified backup and recovery
This new partnership promises the increased availability of data and faster recovery from disasters and unplanned system downtime.
New Zealand Govt announces cloud framework agreement with SAP
“Data-driven solutions are the most powerful way to solve some of society’s most pressing problems."