President Donald Trump Repeals IRS Crypto Rule With Congressional Support

• Trump revokes IRS tax rule on cryptocurrencies
• New resolution reduces bureaucracy for custody brokers
• Cryptocurrency regulation gains focus in Congress

President Donald Trump signed a resolution to repeal a controversial cryptocurrency tax rule implemented in the final days of the Biden administration. The measure, proposed by Republican lawmakers, has received bipartisan support in Congress and marks a major political move involving the digital asset sector.

The rule in question, finalized by the IRS in December, imposed data collection and reporting requirements on so-called “custodial brokers” with the aim of increasing oversight of cryptocurrency transactions. The regulation was widely criticized by experts and lawmakers who considered the requirements overly bureaucratic and detrimental to innovation in the sector.

According to Representative Mike Carey, one of the authors of the resolution alongside Senator Ted Cruz, Trump’s signing of the measure represents the first bill to be signed into law that directly targets cryptocurrencies. “By repealing this misguided rule, President Trump and Congress have given the IRS the opportunity to focus on the duties and obligations it already has to American taxpayers, rather than creating a new set of bureaucratic hurdles,” Carey said.

The White House had previously indicated it would support the repeal, calling the rule a “midnight regulation” — a term used to describe hasty decisions made at the end of an administration. The Senate voted to repeal the rule in March, followed by approval in the House of Representatives. Because it was tied to a budget provision, the measure went back to the Senate for a final vote, where it again won a majority, including support from some Democrats.

The decision reignites the debate over the government's role in regulating cryptocurrencies and could signal a change in stance towards the sector, especially in an electoral context in which the issue has been gaining increasing attention among young voters and investors.

At the time of publication, the price of Bitcoin was quoted at US$79.560,28 with a drop of 3,5% in the last 24 hours.