They’re essentially criminal, as authorities elsewhere—from Cologne to Kuala Lumpur—seem to have noticed. They’re even giving non-profits a headache. But here in the United States, there hasn’t been much movement on reining in cryptocurrencies beyond shuttering the most obvious frauds, warning not to pay too close attention to what Steven Segal says, and refusing to allow ETFs based upon them.

Congress, however, is in need of money to pay for its not-so-grand infrastructure plans, and even Republicans seem potentially amenable to siccing the hated Internal Revenue Service on them.

A provision of the package would require cryptocurrency brokers and investors to provide more disclosure about their transactions to the Internal Revenue Service. The aim is to bring more transparency to an opaque sector, which critics argue is a haven for money laundering and tax evasion…. By strengthening tax enforcement on such digital assets, the federal government could raise $28 billion over a decade, according to an estimate by the Joint Committee on Taxation, which analyzed the plan….

The Senate bill, which could still change, proposes similar reporting requirements but includes a broader definition of a cryptocurrency broker to mean anyone who facilitates transfers of digital assets.

You mean Steve Mnuchin’s query on the 1040 didn’t do the trick?

Infrastructure Deal Puts Cryptocurrencies in Washington’s Cross Hairs [NYT]
Binance Crypto Exchange to Wind Down Derivatives Offerings in Parts of Europe [WSJ]
Nonprofits Get a New Type of Donation: Cryptocurrency [NYT]
This crypto scam bilked investors out of $11 million — and paid action star Steven Seagal to promote it [MarketWatch]

For more of the latest in litigation, regulation, deals and financial services trends, sign up for Finance Docket, a partnership between Breaking Media publications Above the Law and Dealbreaker.

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