DeFi’s Big Win: Senate Says No to IRS Rule
The U.S. Senate made a big decision recently. They voted to stop a rule from the IRS that wanted to make DeFi platforms report user data and transactions. This is a big deal for digital assets and their rules in the U.S. Let’s find out more about this change and what it means for the future of DeFi.
What Happened?
The IRS’s Plan for DeFi
The IRS wanted to treat DeFi platforms like brokers. This would mean they’d have to tell the IRS about users and their transactions. But many people said this was a bad idea because DeFi platforms don’t work like normal banks. They don’t keep money or user data in the same way.
The Senate’s Vote
On March 4, 2025, the Senate voted 70-27 to stop this IRS rule. Both Democrats and Republicans agreed that this rule was a bad idea. Senator Ted Cruz, who helped make this happen, said the rule was a mistake and too hard on DeFi.
Why This Matters
This vote is a big win for DeFi. It shows that lawmakers understand that DeFi is different from traditional banking. The Blockchain Association, which represents big crypto companies, is happy about this change. They think it will help DeFi grow and be more innovative.
This vote also means that there might be more changes in how we regulate digital assets. We could see new rules about stablecoins and how the crypto market works.
What’s Next?
For this rule to be gone for good, the House of Representatives also needs to vote to stop it. They’ve already said they’ll do this, so it’s looking good. After that, President Donald Trump just needs to sign it, and the rule will be history.
Looking Ahead
A New Start for DeFi
The Senate’s vote is a big moment for digital assets in the U.S. It shows that lawmakers want to support DeFi and let it grow. This means the U.S. could be a leader in the global digital asset market. Now, we just need to wait for the House to vote and for President Trump to sign the change into law.
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Sources:
– Crypto News
– Cointelegraph
– CoinDesk