BlockNews
FOLLOW ON X
  • CRYPTO
  • FINANCE
  • POLITICS
  • MEMECOINS
  • NFT
  • TECHNOLOGY
  • OPINION
No Result
View All Result
BlockNews
  • CRYPTO
  • FINANCE
  • POLITICS
  • MEMECOINS
  • NFT
  • TECHNOLOGY
  • OPINION
No Result
View All Result
BlockNews
Home CRYPTO

Cryptocurrency Community Voice Concern Over New IRS Tax Rules on Digital Assets

by BlockNews Team
August 29, 2023
in CRYPTO, MEDIA, POLITICS
Reading Time: 3 mins read
A A
1
SHARES
15
VIEWS
Share on XShare in TelegramShare on Reddit
  • The IRS has issued updated tax rules that focus on transparency in cryptocurrency transactions.
  • Critics, including prominent figures in the crypto sector, worry that the new regulations could slow down the growth of the U.S. crypto market.
  • This move from the government adds to a series of steps aimed at controlling cryptocurrency, sparking debates about the asset class’s future in America.

On August 25, the Internal Revenue Service (IRS) shook up the cryptocurrency community by revealing an updated set of tax regulations for digital currencies. Brokers facilitating crypto transactions must now follow new guidelines, complete with an updated tax form designed to improve clarity in tax reporting and minimize dishonest dealings.

According to the U.S. Treasury Department, the purpose of the new rule is to make sure crypto dealings are reported in the same way as other types of financial transactions. The aim is a level playing field for tax reporting, whether it’s stock trading or Bitcoin swapping. But not everyone sees it that way.

Ryan Selkis, the leader of cryptocurrency research firm Messari, has warned that the newly released rules could be a stumbling block for the crypto industry, particularly if President Biden wins re-election. The general feeling among crypto enthusiasts seems to echo Selkis’s apprehensions. Concerns are being raised about both the Democratic and Republican parties and their possible effects on the fate of cryptocurrencies.

Moreover, critics highlight that the new tax rules might be invasive, infringing on individuals’ financial privacy. These privacy issues tie back to a long-standing American view on income tax, questioning whether these regulations could limit the possibility of private transactions going forward.

This isn’t the first time the Biden administration has leaned toward imposing restrictions on crypto. Earlier this year, a proposal was brought up to tax digital asset mining based on the amount of energy consumed, under the guise of environmental concerns.

Michael Sonnenshein of Grayscale Investments had previously warned on August 13 that an unfriendly regulatory environment could force crypto companies to consider relocating their operations. His warning rings louder today, underlining that, for many in the crypto sector, these new tax regulations are just another instance where the government is missing the mark.

As regulations pile up, those deeply involved in cryptocurrencies are left pondering the future of this financial technology in the United States. The latest IRS update is a contentious topic, and it appears the dialogue is far from over.

SEC’s Cold Shoulder to Cryptocurrency Continues

The U.S. SEC have often reflected caution. Charged with protecting investors, maintaining fair markets, and encouraging capital formation, the SEC finds cryptocurrencies pose unique challenges in all these areas. For instance, the lack of regulatory oversight in Initial Coin Offerings (ICOs) has been a point of concern, leading to legal battles with companies like Ripple to enforce compliance.

Additionally, the high volatility of cryptocurrencies could endanger both individual and institutional investors, adding another layer of caution for the agency. It’s important to note that the SEC’s primary duty is to the investor, and in a rapidly evolving and sometimes opaque landscape like crypto, caution should not necessarily be interpreted as outright hostility.

Tags: Crypto Regulationcrypto taxIRSsec
TweetShareShare
Previous Post

Cryptocurrency Mining Faces Power Cut in Laos Due to Ongoing Drought

Next Post

Sanctioned Russian Banks Delisted by OKX and ByBit

DON'T MISS THESE! HOT OFF THE PRESS

Anime 2.0 Revealed: Studio Azuki and the New Wave of Anime Storytelling
CRYPTO

Anime 2.0 Revealed: Studio Azuki and the New Wave of Anime Storytelling

July 1, 2025
Pi Coin in July 2025: Rebound Brewing or Another Breakdown?
CRYPTO

Pi Coin in July 2025: Rebound Brewing or Another Breakdown?

July 1, 2025
VeChain Struggles to Regain Steam After December Peak
CRYPTO

VeChain Struggles to Regain Steam After December Peak

July 1, 2025
Shiba Inu’s Golden Cross Sparks $110M Whale Surge as Pippen Joins the Party
CRYPTO

Shiba Inu’s Golden Cross Sparks $110M Whale Surge as Pippen Joins the Party

July 1, 2025
Toncoin and Telegram: The Sleeping Giant of 2025?
BITCOIN

Toncoin and Telegram: The Sleeping Giant of 2025?

July 1, 2025
Crypto Supply Shock: Bitwise Predicts Bullish Runs for BTC, But Shows Doubt With ETH and SOL
BITCOIN

Crypto Supply Shock: Bitwise Predicts Bullish Runs for BTC, But Shows Doubt With ETH and SOL

July 1, 2025
Load More

Related News

Anime 2.0 Revealed: Studio Azuki and the New Wave of Anime Storytelling

Anime 2.0 Revealed: Studio Azuki and the New Wave of Anime Storytelling

July 1, 2025
Pi Coin in July 2025: Rebound Brewing or Another Breakdown?

Pi Coin in July 2025: Rebound Brewing or Another Breakdown?

July 1, 2025
VeChain Struggles to Regain Steam After December Peak

VeChain Struggles to Regain Steam After December Peak

July 1, 2025
Shiba Inu’s Golden Cross Sparks $110M Whale Surge as Pippen Joins the Party

Shiba Inu’s Golden Cross Sparks $110M Whale Surge as Pippen Joins the Party

July 1, 2025
Toncoin and Telegram: The Sleeping Giant of 2025?

Toncoin and Telegram: The Sleeping Giant of 2025?

July 1, 2025
Twitter Telegram Threads

BLOCKNEWS.COM

BlockNews

BlockNews.com is your premier source for real-time cryptocurrency, blockchain, and financial market news.

Our mission is to deliver accurate, timely, and insightful information to help both seasoned investors and newcomers navigate the evolving digital economy.

With in-depth analysis, exclusive insights, and up-to-date news, BlockNews.com keeps you informed on the latest trends in crypto, DeFi, NFTs, tech, and beyond.

Stay ahead of the herd with BlockNews.com

RESOURCES

  • About
  • Contact Us
  • Terms and Conditions
  • Privacy Policy

POPULAR TOPICS

$ADA $XRP AI Avalanche Binance Bitcoin Bitcoin ETF blackrock Blockchain BTC Business Cardano Chainlink China Coinbase Coinglass crypto cryptocurrency Crypto Exchange Crypto Regulation DeFi Dogecoin Donald Trump Elon Musk ETF eth ethereum Federal Reserve FTX grayscale Memecoin metaverse Microstrategy NFT NFTs PEPE ripple sec Shiba Inu Solana Stablecoin Technology US Web3 xrp

GET QUICKER UPDATES ON X

© 2022-2025 BlockNews.com - Crypto and NFT news website by Aiur Labs.

No Result
View All Result
  • HOME
  • CRYPTO
  • MEMECOINS
  • TECHNOLOGY
  • POLITICS
  • FINANCE
  • NFT
  • DEFI
  • GUIDES

© 2022-2025 BlockNews.com - Crypto and NFT news website by Aiur Labs.