US Senate Says “No” to IRS’s DeFi Rule: A Big Step for Crypto!
The U.S. Senate has voted to cancel an IRS rule that wanted to make decentralized finance (DeFi) platforms report user data. This is a big deal for the world of cryptocurrencies, also known as crypto. Let’s dive in and understand what’s happening!
What’s the Deal with the IRS Rule?
The IRS wanted to call DeFi platforms “brokers.” This would mean they’d have to tell the IRS about their users, just like banks do. But here’s the thing: DeFi platforms don’t hold money or keep user data like banks do. So, many people thought this rule was a bit silly and could hurt the growth of DeFi in the U.S.
Senators Say “No” to the IRS Rule
On March 4, 2025, the Senate had a vote. Out of 97 senators, 70 said “no” to the IRS rule, and only 27 said “yes.” This was like a big party for crypto lovers! Even senators from different parties worked together to make this happen.
Senator Ted Cruz, who led this effort, said the rule was like trying to fit a square peg into a round hole. He thought it was just too hard to make DeFi platforms do something they can’t really do.
What Happens Next?
Now, the House of Representatives needs to say “yes” to the same idea. Luckily, they’ve already said they’re okay with it. After that, it just needs President Donald Trump’s signature, and the rule will be gone for good!
Why This Matters
This vote wasn’t just about saying “no” to one rule. It showed that the U.S. is ready to work with crypto and make rules that make sense. This could help the U.S. become the best place in the world for crypto to grow and thrive.
As crypto keeps changing, it’s really important to have clear rules. This vote is a big step in the right direction!