U.S. President Donald Trump has signed a resolution overturning an IRS tax rule introduced during the final days of the Biden administration that directly impacted decentralized finance (DeFi) projects.
The rule required DeFi platforms to monitor user activity and report it for tax purposes, placing a heavy regulatory burden on the sector. With Trump’s signature, the rule has been officially repealed, blocking the IRS from implementing similar measures in the future.
The repeal, introduced by Republican Senators Ted Cruz and Mike Carey, received strong bipartisan support in Congress and is being hailed as a major win for the crypto industry. This move lifts a significant compliance burden off DeFi platforms and offers more freedom for developers in the space. Experts note that the decision marks a shift toward a more predictable and innovation-friendly approach to digital assets in the United States.
