One of the few ways forward for US-based decentralized crypto exchanges is moving overseas as the IRS looks to use proposed new rules to tighten reporting requirements.
Those rules equate to “a potential death sentence for decentralized exchanges created by US persons,” said Mark DiMichael, Citrin Cooperman partner and digital asset practice leader.
Under the proposed regulations, crypto exchanges would be required to track and report information on their clients’ transactions including their identities—cutting directly against the ethos and selling points of many decentralized exchanges.
Many may simply opt out of starting DeFi exchanges in the face of the …
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