A group of influential figures in the crypto industry, including Coinbase, a16z, and Paradigm, have signed a letter urging Congress to reverse a recent tax policy introduced by the Internal Revenue Service (IRS) that they believe could hinder the development of decentralized finance (DeFi) technology. The policy, which was rushed through just before the Trump administration ended, would subject DeFi brokers to the same reporting requirements as securities brokers and exchanges. Senator Ted Cruz has introduced a resolution to repeal the rule, which the industry letter asks Congress to support. The signatories argue that the rule unfairly targets US firms and could stifle innovation in the DeFi sector. The Congressional Review Act (CRA) could be used to eliminate the rule, but this would prevent any similar regulations from being introduced in the future. Other crypto organizations are also expressing opposition to the rule.



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