U.S. Crypto Tax Proposal Faces Backlash
Soon after the U.S. shared its plans for taxing crypto gains, many in the crypto world expressed their disapproval, especially regarding the term "brokers."
Key Points:
Immediate Criticism: The new tax plan for digital assets from the U.S. Treasury Department faces resistance as it enters a phase of public feedback.
Online Complaints: On X (previously known as Twitter), many criticized the wide reach of the tax, especially its impact on decentralized crypto operations.
DeFi Lobbyist's View: Miller Whitehouse-Levine, a DeFi lobbying group CEO, believes the tax is too broad, citing concerns about its potential effect on self-hosted wallets.
Wallet Concerns: Some say that services like Metamask and Uniswap might fall under the new tax rules, making them create new rules for their users.
Congressman's Statement: Congressman Patrick McHenry said the proposal was too broad and should be clearer and more focused.
Blockchain Association's Stance: Kristin Smith, CEO of the Blockchain Association, stated that while the crypto world is unique and needs special rules, the right regulations could make tax compliance easier for users.
Feedback Period: The industry can give their opinions until October 30, with public hearings set for November 7 and 8. The proposal welcomes input from the crypto community.
A Positive Note: The tax plan mainly doesn't include crypto mining operations, which was a previous concern.
