Recently, the US Department of the Treasury🇺🇲 presented a proposal outlining new tax rules for the cryptocurrency industry. Updates include the introduction of Form 1099 for crypto transactions and clarification of tax obligations for digital asset miners. However, the proposal has raised concerns in the industry, especially among decentralized finance (DeFi) professionals.
🔍 Highlights:
- The proposal responds to the Infrastructure Investment Act of 2021, which aims to clarify tax reporting requirements for the booming crypto sector.
- The document, released on August 25, outlines the tax reporting responsibilities of centralized crypto exchanges, payment processors, hosted wallet providers and some decentralized exchanges.
- Focuses on the definition of "broker" in the crypto industry, including digital asset trading platforms, payment processors and hosted wallet providers.
📢 Feedback from the community:
Cryptocurrency analyst Miles Deutscher and other critics have expressed their dissatisfaction with the new rules. The focus is on how this could impact DeFi platforms such as #Uniswap , #1inch and #MetaMask .
🔜 What's next?
The Treasury Department opened the public comment area until October 30 and has scheduled public hearings for November 7 and 8.
🚀 "#DeFi under threat? Reaction to new US tax proposals!" 🌐
We live in an era of rapid change, and new US tax rules could be a stumbling block for DeFi. But as always, the cryptocurrency community is ready to rise to the challenge! 💪🚀
