Crypto Giants Urge Congress to Overturn Tax Rule; Czech Central Bank Considers Bitcoin; Binance.US Restores USD Services

Leading cryptocurrency firms and organizations have signed a letter urging Congress to overturn a recently finalized tax rule they argue could severely hamper the growth of the decentralized finance (DeFi) sector in the United States. The letter, led by the Blockchain Association, was signed by industry giants including Coinbase, a16z, Paradigm, Kraken, Uniswap, Anchorage Digital, and dozens of others. The firms argue that the regulation imposes onerous data collection and reporting requirements on DeFi brokers, which they believe fundamentally misunderstands the technology and ignores Congress's intent. The letter calls for the rules to be approved under the Congressional Review Act, with a resolution introduced by Texas Republican Senator Ted Cruz.

The governor of the Czech National Bank, Ales Michl, has reiterated his support for potentially incorporating bitcoin into the central bank’s reserves in a post drawing a line between the leading cryptocurrency and the broader market. Michl acknowledged the inherent instability of the cryptocurrency space and predicted the market will see “failures and successes.” He added that Bitcoin is a “different story” and that it “should not be lumped together with other crypto assets.” Last month, Michl submitted a proposal that the Czech National Bank formally study the addition of alternative assets, including BTC, to its balance sheet. The proposal received a green light from the bank’s board, initiating a preliminary analysis phase.

Binance.US, the American affiliate of leading cryptocurrency exchange Binance, has announced it is reinstating U.S. dollar deposits and withdrawals for its customers after a nearly two-year hiatus. The move is also bringing back a range of U.S. dollar-based services that include converting between fiat and crypto. The exchange had been operating as a crypto-only platform after it dropped the U.S. dollar in 2023 partly over a lack of support from banking partners. The reinstatement comes after a period of significant decline in Binance.US’s customer assets over the halt of U.S. dollar services and growing regulatory scrutiny. The move is the latest sign of crypto firms seeing a more crypto-friendly regulatory environment under the Trump administration.