The Blockchain Association, a pro-crypto lobbying group, says new proposed crypto regulations from the U.S. Department of the Treasury will destroy the domestic decentralized finance (DeFi) sector.
In August, the Treasury Department and the Internal Revenue Service (IRS) rolled out a new proposal that would lay out new reporting requirements for “crypto brokers.”
Crypto broker is a term the regulators use to refer to trading platforms, digital asset payment processors, certain digital asset-hosted wallet providers and people who regularly offer to redeem crypto assets that they created or issued.
The proposal would require crypto brokers to report new information to tax authorities regarding their users’ crypto assets sales and transfers.
On Monday, the Blockchain Association filed a comment regarding the Treasury’s proposed new rules.