The Department of the Treasury and the Internal Revenue Service (IRS) formally scraped out the controversial cryptocurrency rule, which would require decentralized exchanges to follow the duties of reporting the broker.
American treasure, IRS drops the cryptographic broker rule
On Thursday, the US Department of the US and IRS officially He canceled the principles of cryptographic broker, which required decentralized exchanges and protocols to report detailed customer data to the tax agency.
The principle was originally proposed in November 2021 through the Act on investments and employment of infrastructure, aimed at closing the “tax gap” by expanding the definition of “brokers” by the exchange of cryptocurrencies and other intermediaries.
The US Treasury and IRS revoke controversial crypto broker reporting rule. Source: Federal Register
At the end of the administration, Biden IRS finalized the rule, expanding the definition of a “broker”, while requiring the DeFI platform to report revenues from digital asset transactions and detailed information about user transactions, including names and addresses.
According to Bitcoinist, the regulation was aimed at full effects in 2027, but met with great criticism. Industry players considered the principle to be “impossible” and excessive implementation, noting that the “arbitrary” definition of the “broker” was too wide, and many market participants did not have access to the data for which the agency asked for.
In March, Congress undertook a joint resolution on the basis of the Congress Review Act (CRA), rejecting the final rule. The resolution, entitled “Gross revenues, reporting brokers that regularly provide services to the sale of digital assets”, was signed by President Donald Trump in April, becoming the first act on crypting signed by the US President.
From July 11, 2025, this principle of cryptographic broker has no legal force or effect, because the Treasury Department and IRS removed it from the Code of Federal Regulations (CFR) and restored the appropriate CFR text to the text that was in force before the final principle.
Federal agencies have noticed that the change in CFR was introduced to reflect the achievements already achieved through congress and presidential activities. “Therefore, the Treasury Department and IRS do not obtain comments on this action, or delay the date of entry into force,” we read in the appeal.
Transition from the regulation from the time of Biden
The removal of the principle takes place after the regulatory change towards President Trump, who swore to transform America into the “cryptographic capital of the world”. In this process, other federal agencies withdrew other rules and guidelines from the time of Biden.
In May, the American Work Department (Dol) canceled its guidelines in 2022, which discouraged trusters from the inclusion of digital assets investments in 401 (K) pension plans. Direction, issued in March 2022, in accordance with the ordinance of Biden, which required the government to assess the risk and benefits of digital assets.
“We are going back and explain that trustees should make investment decisions, not DC bureaucrats,” explained US Secretary of Work Lori Chavez-Dearemer.
In June, the American Federal Reserve (FED) announced that it has updated its approach to bank examinations to remove the “reputational risk” from its guidelines, reducing the access of cryptographic companies to time-honored banking.
Meanwhile, the Securities and Stock Exchange Commission (SEC) and the Department of Justice (Doj) resolved their units oriented to the enforcement of cryptocurrencies and changed their approach “regulatory according to enforcement”.
In particular, Congress is also working on developing a very anticipated cryptocurrency framework, pressing the approval of the Stablecoin Act, the genius act and the legislation of the market structure, The Clastity Act, which will be the subject of the upcoming “Cryptographic Week”.
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