U.S. Crypto Regulation At A Glance: Transparency And Taxation

Cryptocurrency regulation in the United States is centered on transparency and taxation, and since 2023, cryptocurrencies have been classified as “designated securities” and subject to reporting obligations when sold. Beginning in 2024, crypto transactions of $10,000 or more must be reported, and the U.S. Securities and Exchange Commission (SEC) considers many cryptocurrencies to be unregistered securities. 

Key features of the new regulations include expanded reporting obligations, a phase-in schedule, and detailed reporting content, which are aimed at increasing market transparency, facilitating taxation, and maintaining consistency with the existing financial system. 

These regulations are expected to promote the institutionalization and maturation of the cryptocurrency market, but may put short-term pressure on the industry. Future challenges include the regulation of decentralized finance (DeFi), regulation of non-custodial brokers, increased international cooperation, and technological challenges, which are expected to contribute to raising the profile of virtual assets within the global financial ecosystem. [diassetpro – 2024.08.03]

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