Almost every big name in the crypto industry is signed in a letter calling for Congress that Eliminate a US tax policy They said that decent -financial technology (DEFI) could be dangerous by the shoehorning of most of that space in the field of brokers subject to collecting and reporting data.
The Internal Revenue Service – the tax arm of the US Treasury Department – pushed through a key Digital Assets Broker Law Between Christmas and New Year, days before the President Donald Trump’s administration is set to come. It is meant to institute similar information on reporting requests to defi brokers that security brokers will deal with and replace.
Recently -approved policies can be erased under the Congressional Review Act, and Senator Ted Cruz, the Texas Republican, Introduced a resolution Last week would just do that. The universal letter of the industry on Wednesday – led by the Blockchain Association and accompanied by Coinbase, A16Z, Paradigm, Kraken, Uniswap, Digital and Dose Others – the rest of Congress asked to embrace Cruz’s proposal.
“The Defi Broker’s rule, which has been confined to lost biden management days, represents the overreach of the regulation that it initially misunderstood the technology it is trying to adjust and ignore Congress’ intent,” according to the letter, letter, sent to leadership in the same room of Congress. The use of the power of Congress to reverse the regulations of the federal agency offered “a clear and specific path to revitalizing this destructive rule before it could be realized.”
Businesses are the same as arguing that the rule is unfairly targeted by US companies with policies that foreign competitors should not follow when delivering US customers.
“This unique burden on American companies only can scipp the defi innovation in this country,” they said.
The CRA can be a strong but sometimes reddish tool spiked to popularity during President Donald Trump’s first term. Where it is dull is in its second effect: any subject of regulation upside down in this way can never be reinstated in any similar fashion, which potentially makes it difficult to apply more friendly regulations in the same place.
When Congress sought to use it to eliminate the Securities and Exchange Commission’s accounting policy, Accounting Bulletin No. 121, the minority that opposed the effort has argued that it will be hosting the future SEC efforts to meet digital accounting assets. While the same chamber approved CRA’s efforts, After-president Joe Biden vetoed the attemptleaving temporary sec chief Mark Uyeda, to move recently to get the Same thing that has been done Interior.
A CRA resolution requires the approval of most of the same Congress chamber before it can be sent to President Trump for a potential sign-off. After the election in 2024, many other pro-Crypto lawmakers were walking through the halls at Capitol Hill, even though Congress’s attention was a hot commodity, and other pressing objects such as the federal budget were sinking.
Beyond the letter, other crypto organizations are also weighing. A spokesman from the Defi Education Fund said “excited” to see the momentum building against the “unworkable, unconstitutional” rule that the group is focused on to ensure that it is not implemented.
Read more: US Treasury issues release a crypto tax regime for 2025, delayed policies for non -custodians
