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It doesn't really matter if you make the analogy of asset or FX; you owe tax on gains in either case.

Then there's a loophole right? Create a stable coin, and never have to cashout.

the common analogy would be an FX pair (like GBPUSD)

And how are forex transactions taxed? Why don't we just apply that policy to crypto?

> Why don't we just apply that policy to crypto?

This is the core of the whole issue; IRS (and similar bodies) are deciding what crypto "is", at least for tax purposes (as is their purview). That has implication for how and when things are taxed.

in the UK it depends on the intent of the transaction

speculation is treated differently to full-time trading, which is in term treated differently to trying to make some money on the side