Opinion: DeFi applications such as Etherscan and MetaMask may need to comply with the proposed new tax reporting regulations for brokers by the US Treasury Department

Odaily Planet Daily News DelphiLabs researcher @lex_node posted on the X platform (formerly Twitter) that the U.S. Department of the Treasury’s proposed regulations for encrypted asset brokers have been released, clarifying all types of people who will participate in DeFi (including website operators communicating with wallets) ) is characterized as a broker. @lex_node pointed out that many DeFi web apps with US users will need to track users' profits and losses and issue tax statements to them every year. This could be devastating to anyone using a P2P protocol in the US, possibly even Etherscan. Additionally, operators of web apps like MetaMask, AMMs, and even DAOs may be required to comply with the new regulations, @lex_node speculates. Earlier news, the U.S. Department of the Treasury recently released a nearly 300-page proposed rule that clearly defines "brokers" in the encryption industry. Under the new rules, CEXs, payment processors, some custodial wallet providers, some DEXs, and individuals or entities that cash out issued crypto tokens will be required to fulfill tax reporting obligations. The new rules also introduce a new tax form to be used by newly appointed brokers. The proposed rules are still in the proposal stage, with the government set to gather public comment by October 30 and hold a series of public hearings on November 7 and 8.