A leading non-profit organization dedicated to advocating for the crypto industry has identified the top threats currently facing digital assets. Coin Center, in a recent report examining crypto legislation post the 2024 US presidential election, highlighted three major challenges impacting the industry.
The first threat identified by Coin Center is the Internal Revenue Service’s (IRS) requirement to report crypto transactions exceeding $10,000 under section 6050I. The organization is actively involved in litigation against this mandate, arguing that the forced disclosure of personal information to the IRS is unconstitutional.
The second threat involves sanctions imposed on crypto mixer Tornado Cash. Coin Center is challenging the legality of these sanctions, asserting that the Treasury lacks the authority to prohibit Americans from utilizing tools like immutable smart contracts that do not involve foreign entities.
The third critical issue highlighted by Coin Center is the prosecution of unlicensed money transmissions, particularly targeting developers of non-custodial software tools such as Tornado Cash and Samurai Wallet. The organization is providing support to these defendants to address legal challenges.
Despite the potential benefits of a new presidential administration, Coin Center remains uncertain about whether the incoming leadership will address excessive regulations impacting the decentralized crypto sector. The organization anticipates that Congress may need to intervene to address these regulatory issues effectively.
Coin Center also expresses concern about the continuation of stringent sanctions and anti-money laundering (AML) policies under the new administration. The organization emphasizes the importance of striking a balance between regulatory oversight and fostering innovation in the crypto industry to prevent stifling technological advancements.
Looking ahead, Coin Center is hopeful that Congress will play a more significant role in challenging surveillance practices and control policies that hinder crypto innovation. The organization believes that a collaborative effort between industry stakeholders and policymakers is essential to create a conducive regulatory environment for crypto development in the US.
To stay updated on the latest developments in the crypto industry, readers are encouraged to subscribe to email alerts from Coin Center. Additionally, they can follow the organization on social media platforms such as Twitter, Facebook, and Telegram for real-time updates and insights.
In conclusion, Coin Center’s advocacy efforts reflect a commitment to safeguarding the interests of the crypto community and promoting a regulatory framework that fosters innovation and growth in the digital assets sector. By actively engaging with policymakers and legal challenges, the organization aims to address key threats facing the industry and advocate for a balanced regulatory approach that benefits all stakeholders.