YiJingJing reported on July 2 that last Friday, the IRS and the U.S. Treasury Department finalized the implementation of a provision in the Infrastructure Investment and Jobs Act passed by the Biden administration in 2021, requiring cryptocurrency trading platforms to submit standard 1099 forms starting in 2026 to report investors' trading information to the IRS.

However, this provision only applies to centralized exchanges (CEX), and decentralized exchanges (DEX) that do not hold crypto assets will be exempted. At present, the mainstream CEXs are mainly Binance (BNB), Coinbase (COIN), etc., while DEXs include Uniswap (UNI), Curve (CRV), Pancakeswap, etc.

For the purpose of anonymous transactions, this policy may prompt some investors to turn more to decentralized exchanges. Of course, whether it can avoid taxes is still uncertain, because it only stipulates that cryptocurrency holders need to pay taxes, and how to prove holding and tax details have not yet been standardized and specified.