Odaily Planet Daily News Blockchain advocacy organization Blockchain Association opposes broker rules proposed by the U.S. Internal Revenue Service (IRS), saying that these regulations will place excessive burdens on investors, cryptocurrency companies and the IRS itself. The association cited the Paperwork Reduction Act, pointing out that government regulators should not impose unnecessary paperwork requirements on individuals and entities in the financial system. The letter mentioned that if these rules are passed, 8 billion tax returns will be added, 4 billion hours of processing time will be wasted, and annual compliance costs will reach $254 billion. In contrast, the IRS early estimated that the total compliance cost of the new regulations would be $136 million. In addition, the association believes that the annual compliance cost of $245 billion is unreasonable for a market that generates a tax gap of up to $10 billion. In 2023, the association submitted a 39-page letter detailing its comprehensive objections to these regulations, arguing that these rules are extremely difficult for decentralized financial protocols to comply with, reflecting the government's misunderstanding of blockchain and cryptocurrency.