Leading cryptocurrency exchanges asked the US Internal Revenue Service for clear regulations instead of obscure suspicion. On March 3, a panel of representation during a cryptocurrency summit at the IRS headquarters in DC, a major accounting firm RSM, Kraken and Coinbase noted the crypto-verse was facing outsized scrutiny from authorities; in comparison to its sheer size.
The Coinbase representative Sulolit Mukherjee, who is the head of global tax information and Lisa Askenaxy Felix, the Kraken representative; highlighted authorities were scrutinizing the industry more than it deserved. Felix, for instance, did not hesitate to point out that the biggest companies in the crypto industry were not even that big.
“Even the biggest companies within our space are really not the huge, IRS publicly reported companies right now,”
Given the young emergence of the industry, Felix noted enterprises were still in the process of adjusting. For example, reacting and adapting to all the domestic and foreign jurisdiction demanded a lot of effort. However, crypto exchanges are in the very process of making the right adjustments. Sulolit affirmed that crypto exchange companies had all the reasons to comply with the IRS. Therefore stating there was no added advantage to either Coinbase or Ripple failing to do the right thing.
Moreover, the Coinbase representative went ahead to suggest the unfairness of excessive regulatory pushback. He quipped:
“Tax people are not always the most welcoming people in business conversations.”
Accounting Firm RSM’s Jamison Sites agreed with the cryptocurrency executives and noted:
“All the big players in this industry — Coinbase, Kraken — were very much startup companies,”
Sites provided a hypothetical example of outsized regulation with the 1980s internet boom.
“when all these startups were coming in, imagine that the US Postal Service came in and said ‘hey, this is unlawful delivery.’”
Meanwhile, the crypto exchanges rep panel was an IRS event for crypto advocating, that the tax authority organized.