Senator Ted Cruz to Challenge IRS Rule on DeFi Brokers

According to Odaily, U.S. Senator Ted Cruz plans to introduce a Congressional Review Act resolution next week to overturn a controversial IRS rule. This rule mandates certain DeFi brokers to report total earnings and provide user data, including names and addresses. Finalized in December of last year, the IRS regulation requires DeFi brokers to submit Form 1099, similar to traditional securities brokers. Critics, including Cruz, argue that the rule stifles innovation, compromises privacy, and complicates tax reporting for the decentralized nature of the crypto industry.