United States House of Representatives Speaker Nancy Pelosi confirmed that there will be discussions on the controversial infrastructure bill before the final vote this week. The $1 trillion bipartisan infrastructure bill will be put to a vote on September 30, and the Speaker of the House is confident it will pass. Many people are talking about how this bill will affect cryptocurrencies if it is approved.
How will the infrastructure bill affect cryptocurrencies?
In a letter released by her office on Sunday, Pelosi said; He said the law, which will help finance roads, bridges, airports, schools and other construction projects, will be discussed for 4 days before being voted on. Part of the bill includes a provision that requires mandatory tax reporting for any entity that is somehow connected to the crypto industry.
The bill passed the House in early August, using the word “broker” to describe organizations and companies such as software developers, node validators, stakers, miners, hardware manufacturers and wallet providers. If the wording passes unchanged, these entities will have to report transactions to the Internal Revenue Service (IRS), which aims to expand crypto taxation to generate an additional $28 billion in revenue.
Lobbying was done for the regulation of the bill
As we reported , many senators, lawmakers, and representatives, including Anna Eshoo, Cynthia Lummis, Ron Wyden, and Pat Toomey, lobbied, arguing that the terminology was too broad and could hinder innovation. “In a decentralized system of cryptocurrencies, these individuals and organizations do not know who the buyers and sellers are and will not be able to comply with broker requirements,” Democratic Representative Anna Eshoo wrote in a letter to Pelosi on Aug.
According to many, there could be a far-reaching impact on the US crypto industry and future blockchain innovation if this law, which requires third-party developers to report to the IRS, is passed. However, the infrastructure law is facing opposition from some lawmakers who believe the vote should be delayed until negotiations on the $3.5 trillion benefit and climate law are over.