Like all things in crypto, lots of lines ( and labels) are getting blurred, whether it be investing or trading and their respective attributes and distinctions. Applying old frameworks to new the new tech of the blockchain and its related tokens and babies will be what I expect to see first. It'll be a surely be a mess and will invite (constitutional)litigations world over (see South Korea) , but hopefully, smart legislatures should realize the need for new approaches (laws and regs) to new problems/ tech. Especially if taxation is done right, it can truly be a win win for most. At the very core, the inefficiency of the tax system today (in most countries, including in India, where i'm from) is that it itself breeds the justifications, requirements and means to evade tax. Since we're all a bunch of disruptive folk right here, I'm sure the world with catch up to us soon enough (enter Gibraltar, Belarus, etc). One last thing, the difference between investing and trading will most often, as it is here, come down to how long you hold on to an asset. If you hold on to something for 3 years +, it'll probably be seen as an investment, less than that may be considered trading. This is how its done for stocks/equity, but given the time frame of crypto, this is a bit redundant, but that's what it is.