Infrastructure Bill Amendments Due For Vote Face Criticism
News
- Experts warn that an Infrastructure Bill section is very dangerous.
- It’s a different provision from the popular and controversial “broker” provision.
- The provision imposes reporting requirements that are impossible for DeFi.
Experts pointed out that a part of the Infrastructure Bill due for vote amends a section of the tax code and creates failure to report digital asset transactions by businesses and individuals.
Abraham Sutherland, University of Virginia School of Law lecturer, expressed his views on the subject. He mentioned that,
It’s bad for all users of digital assets, but it’s especially bad for decentralized finance.
He added that it would not straightforwardly ban DeFi. However, it gives out requirements that are impossible to comply with in decentralized finance.
CoinShares CSO Meltem Demirors took her dissatisfaction to Twitter as she dubbed the amendment as “unconstitutional” and “anti-American” in nature.
this bill is unconstitutional and inherently anti-American
private citizens have the right to financial privacy and financial freedom
absolutely shameful to see this https://t.co/O9FkVC2CF4
— Meltem Demir◎rs (@Melt_Dem) November 4, 2021
The amendment raises privacy concerns on applications to decentralized finance and crypto transactions and is simply impossible for many projects.
Additionally, Sutherland wrote in a piece at DeCential that,
But if the amendment becomes law, regulators, prosecutors, and the public will have no choice but to take it seriously. Congress, and the public, should not wait for that. The amendment to section 6050I is an affront to the rule of law and to the norms of democratic lawmaking.
