Key Takeaways
- The Blockchain Association urges Trump to replace SEC, IRS leaders.
- Criticism includes IRS 'Broker Rule' and SEC's SAB 121 guideline.
- A crypto advisory council is recommended to shape better regulations.
The Blockchain Association, a U.S.-based nonprofit representing Bitcoin and blockchain businesses, has sent a letter to President-elect Donald Trump and Congress outlining priorities for his administration’s first 100 days.
Key concerns
Kristin Smith, CEO of the Blockchain Association, emphasized the need for significant leadership changes beyond replacing SEC Chairman Gary Gensler.
The letter calls for overhauls at the Internal Revenue Service (IRS) and Treasury Department to address what the group describes as anti-Bitcoin policies.
IRS and SEC concerns
The IRS’s newly introduced “Broker Rule,” which mandates detailed reporting on cryptocurrency gains, losses, and proceeds, is a key concern.
Smith argued that the rule could push Bitcoin companies offshore.
Additionally, the letter criticizes the SEC’s SAB 121 accounting guideline, which requires publicly listed companies to account for Bitcoin holdings on their balance sheets. The letter describes the guideline as “punitive.”
Recommendations
Other recommendations include:
- Ending discriminatory banking practices that deny Bitcoin companies access to traditional financial services.
- Creating a regulatory framework that balances consumer protection with innovation.
- Establishing a crypto advisory council to collaborate with Congress and regulators.
The Blockchain Association also called for the Treasury Department to support software developers and prioritize privacy. While Trump lacks the authority to fire Gensler directly, the SEC chairman has already announced plans to step down in January 2025.
