Blockchain Association sues IRS over digital asset reporting rules

The U.S. Internal Revenue Service (IRS) recently issued new regulations requiring crypto platforms (including decentralized exchanges) to report digital asset transaction information, and stipulated that starting from 2027, platforms must disclose taxpayer information and sales revenue involved in digital asset transactions. In response, the Blockchain Association and the Texas Blockchain Association jointly sued the IRS, arguing that the rule violated the U.S. Administrative Procedure Act and could have a negative impact on the U.S. crypto and decentralized finance (DeFi) industries. Kristin Smith, CEO of the Blockchain Association, said the lawsuit aims to protect the future of the U.S. crypto industry and support the interests of innovators.