July 2018 JD Supra

There are investors that have an interest in “exchanging or swapping” Virtual Currency (VC).  Prior to the passage of the Tax Cut and Jobs Act (TCJA), VC investors could take the position that if they “exchanged or swapped” one VC with another (for instance Bitcoin for Ethereum or Litecoin), the transaction would be tax deferred under Section 1031 of the Internal Revenue Code (like-kind exchange).  According to the Internal Revenue Code: https://www.jdsupra.com/legalnews/swapping-virtual-currencies-will-20570/