The US Congress voted to nullify a rule requiring DeFi platforms to report taxpayer data involved in DeFi transactions.
Congressional Vote
On March 11, the House of Representatives voted 292 for and 132 against repealing the IRS rule requiring DeFi platforms to register taxpayer data. Previously, the Senate also supported the motion with a vote of 70 to 27.
Reaction to Rule Overturn
After the vote, Republican Representative Mike Carey and House Financial Services Committee Chairman French Hill stated that the rule violates the privacy of Americans and hinders industry development. They noted that the initiative would have required DeFi platforms to disclose taxpayer information, increasing the administrative burden on the IRS.
Arguments Against Overturn
Opposing the repeal is Democrat Representative Lloyd Doggett, who argues that removing the rule will create a loophole for tax evasion and money laundering for wealthy donors and criminals.
The Congress voted to overturn the IRS rule intended to regulate DeFi, sparking significant debate. The decision now needs to pass another Senate vote for full adoption.
