Infrastructure Bill – a law that raises great concerns about cryptocurrencies

According to the Coindesk portal, the bill envisages that after the introduction of the cryptospace alone, it will be possible to raise an additional 30 billion dollars in taxes in the budget. However, the threat to the cryptocurrency business environment being built in the United States is not only the “losses” associated with increased tax expenditures, but also the requirements that the bill includes.

According to the proposal, any broker transferring digital assets will have to “file a return” under the modified reporting regime. Digital assets are defined by law as any digital expression of value recorded in a cryptographically secured distributed ledger, or similar technology. According to the proposal, the definition of brokers includes not only traditional exchanges, but also decentralized exchanges (DEX) or peer-to-peer markets.

Regarding the potential impact on the cryptocurrency market, Kristine Smith, executive director of the Blockchain Association], said that for a large number of cryptocurrency businesses, this would imply a legal obligation to report all their cryptocurrency transactions.

“We interpret this to apply to all software wallet developers, hardware wallet manufacturers, multisig liquidity service providers, DAO token holders, and potentially cryptocurrency miners.” she stated.

The proposal also implies that exchanges should be required to report every cryptocurrency transaction in excess of $ 10,000, which is the US standard for regular transfers in Fiat currencies. It is also speculated that the law in this form would not consider any cryptotransaction from the exchange to a private wallet as a tax liability.

The US Senate should start a test vote on this law, which has the support of both parties, as early as this week, but the question is in what final form it will be approved. The law applies not only to cryptocurrencies, but also to other sectors important to the American economy.

Critics of the law, including the Blockchain Association, point out that the law in this form can not only affect the future of business in the cryptocurrency sector, but also the future of the Internet itself. The association also warns that if approved in this form, companies from the cryptocurrency sector will simply move to other countries and the expected revenues to the US budget, according to its submitter, will still not be met. ,,If we want to keep the cryptocurrency market in the United States, the laws and regulations must be unambiguous and the groups it targets must be identified with them. ”draw attention.

According to information from Twitter, whether the “tweets” of the Blockchain Association, Jake Chervinsky or Jarry Brit, lobbyist blockchain groups in Washington are trying to adjust some of the most controversial points concerning cryptocurrencies to avoid the worst possible effects if the law were amended. approved.