365Crypto
The US Treasury just gave DeFi a break. The dreaded broker rule is dead.
A new rule from 2024 would’ve forced decentralized platforms to report user transactions to the IRS. But not anymore.
That rule was set to kick in by 2027. Now it’s gone—thanks to a rollback by Congress and a final axe from the Treasury.
The rule made no sense for DeFi. These platforms don’t even know who their users are. Reporting their trades? That’s like asking a vending machine to file taxes.
DeFi fans had warned this rule would crush innovation. They were right.
So now, DeFi can breathe. But centralized exchanges? Not so lucky.
The IRS still wants their user data. Coinbase knows this all too well.
A Supreme Court case let the IRS force Coinbase to hand over info on 14,000 users. Privacy? Not if a third party holds your data.
This win for DeFi shows the Trump team is doubling down on crypto freedom.
Senator Cynthia Lummis is also on the move. She’s pushing new tax reforms to stop double-taxing miners and stakers.
Footnotes:
DeFi (Decentralized Finance): Financial services that don’t rely on traditional banks or middlemen.
IRS: U.S. Internal Revenue Service, the tax collection agency.
Coinbase: A major centralized crypto exchange.
