The US Senate Approves an Anti-Crypto Infrastructure Bill
U.S. Senate Approves An Anti-Crypto Infrastructure Bill
The contentious infrastructure bill was approved by the Senate with a 69-30 vote. One of the main problems with the law is that it defines crypto brokers as anyone who facilitates transactions.
According to legal experts, this term may be broadened to encompass Proof-of-Work miners, Proof-of-Stake validators, and even protocol creators.
Brokers will be required to go through Know Your Customer processes and follow rigorous tax reporting standards under the new laws. The $1.2 trillion plan aims to collect $28 billion in tax revenue from the Bitcoin sector.
Senators From U.S Reach An Agreement On A Contentious Crypto Amendment
After the crypto community banded together to oppose this law, two amendments were proposed.
Senators Warner, Sinema, and Portman proposed the first amendment, which emphasized that Proof-of-Work miners, hardware makers, and service providers would not be considered brokers.
The community reacted negatively to this amendment since it would not safeguard Proof-of-Stake validators, leading many to assume that the Senate was directly targeting Ethereum's future network upgrade to combat the emerging DeFi sector.
This idea was supported by claims that Treasury Secretary Janet Yellen personally worked for the passage of this amendment because DeFi may pose a danger to the current banking system. The White House likewise approved the Warner-Sinema-Portman amendment.
Three additional senators, Lummis, Wyden, and Toomey, submitted a separate, more crypto-friendly amendment, which received widespread support from the crypto community.
Senator Richard By was the only one to vote against the amendment, which was approved by unanimous consent after he was denied the opportunity to propose his own amendment.
The infrastructure bill was approved by the Senate with no changes to the crypto provisions. The executive director of the crypto lobbying group Coin Center urged the crypto community not to lose up and continue to oppose the proposal in the House of Representatives.
During today's vote, no amendments were considered.