Germany recognizes Bitcoin, now here come the taxes

The virtual currency Bitcoin is now a 'unit of account' in Germany, formally recognized by the finance ministry as "private money."

Users and creators of the currency will now be subjected to German taxes as a result of the measure.

Companies wishing to use Bitcoin for commercial transactions will require the permission of Germany's Federal Financial Supervision Authority.

The news will likely be welcomed by the infamous Winklevoss twins – who came out in April as holders of roughly $11 million of Bitcoin – as recognition from the German government should aid the currency's credibility.

Here's a classic quote from Larry Summers on the "Winklevii":

"One of the things you learn as a college president is that if an undergraduate is wearing a tie and jacket on Thursday afternoon at three o'clock, there are two possibilities. One is that they're looking for a job and have an interview; the other is that they are an a**hole. This was the latter case."

The Simpsons writers have a go at the Winklevoss twins