The crypto community is opposing changes to the crypto terms of the White House Infrastructure Plan-the plan is to Raised $28 billion Obtain infrastructure funding by expanding taxes on crypto transactions and impose new reporting requirements on crypto “brokers.”
On August 6, Senators Mark Warner and Rob Portman proposed a “last-minute amendment” to infrastructure transactions, excluding vendors of mining certificates and hardware and software wallets from the bill. However, the wording of the amendment indicates that cryptocurrency developers and proof-of-stake verifiers will still be subject to expanded reporting and taxation, which some people describe as “unfeasible.”
A few hours later, Jeff Stein, an economic reporter for the Washington Post, Tweet The White House officially supports their amendment.
Late-The White House officially came out to support the Warner-Portman-Sinema encryption amendment and secretly opposed the Toomey-Wyden-Lummis plan
— Jeff Stein (@JStein_WaPo) August 6, 2021
If accurate, it means that the White House does not support Opposing amendments Proposed by Senators Cynthia Lummis, Pat Toomey, and Ron Wyden to provide a broader list of exemptions, including “Verify Distributed Ledger Transactions” Any entity that “develops digital assets or their corresponding agreements” and miners.
“By clarifying the definition of a broker, our amendment will ensure that non-financial intermediaries such as miners, network verifiers, and other service providers are not subject to the reporting requirements specified in the bipartisan infrastructure package,” Tumi Tweet.
Jerry Brito, executive director of the Coin Center, Bang Warner and Portman’s limited amendments were “catastrophic,” accusing Congress of “selecting winners and losers.”
If this passes, it is the US Congress to pick the winners and losers.
-Jerry Brito (@jerrybrito) August 5, 2021
The smallest amendment was widely condemned by the crypto community, and many onlookers emphasize Proof of work network and software developers will be affected by the new legislation.
A sort of petition The request for citizens to oppose the amendment has been posted on FightForTheFuture.org, which criticizes the law for “dramatically expanding[ing] Financial supervision” and damage innovation.
On August 2, the Electronic Frontier Foundation (EFF) published an article criticizing the amendment to include developers who do not control digital assets on behalf of users.
Specifically, in response to the wording in the amendment, the EFF defines a cryptocurrency “broker” as any “person who is responsible for and regularly provides any service for realizing digital asset transfer” and claims that “almost any entity in the cryptocurrency ecosystem [could] According to the new definition, it is regarded as a “broker”. EFF added:
“The task of collecting customer names, addresses, and transactions means that almost every company, even those closely related to cryptocurrencies, may suddenly be forced to monitor their users.”