US Treasury and IRS propose guidelines for crypto brokers
The US Department of the Treasury and the Internal Revenue Service (IRS) have proposed new guidelines detailing the reporting duties of crypto brokers . The US Small Business Administration’s Office of Advocacy announced that the proposal concerning crypto currency regulations for brokers was unveiled on Aug. 29. Starting Jan. 1, 2025, digital asset brokers – encompassing trading platforms, payment processors, and specific hosted wallet providers – will be mandated to report the gross proceeds from all sales or exchanges of digital assets. The document refers to these entities as “digital asset middlemen” and stipulates that they will also be responsible for reporting the gains and losses realized during cryptocurrency transactions. This particular provision is slated to become effective from Jan. 1, 2026. The Federal Register, which circulated a document related to this proposal, anticipates that these regulations will foster “higher levels o...