Almost any large name in the crypto industry has signed a letter calling on Congress to eliminate a US tax policy, as they say, could bring decentralized funding (DEFI) Technology at risk of much of this space within brokers that are subject to data collection and reporting .

Internal Revenue Service – The US Ministry of Finance’s tax arm – pushed through an important digital assigner rule between Christmas and New Year just days before President Donald Trump’s administration was to arrive. It was intended to introduce similar information reporting requirements for defi-brokers that securities brokers and exchange would be exposed to.

Recently approved rules can be deleted according to the Congressional Review Act, and Senator Ted Cruz, Texas Republican, introduced a decision last week that would do just that. The total industry letter on Wednesday – led by the Blockchain Association and together with Coinbase, A16Z, Paradigm, Kraken, Uniswap, Anchorage Digital and dozens of others – asks the rest of Congress to embrace Cruz’s measure.

“Defi -brokerage rule, completed in the diminishing days of the Biden administration, represents legislative overreach, which basically misunderstands the technology it is trying to regulate and ignore the intention of the congress,” according to the letter sent to the management of both congress panels. Using the power of Congress to turn federal agency regulations offer “a clear and final way to roll back this harmful rule before it can take effect.”

Companies, overall, argued that the rule is unfairly aimed at US companies with rules that foreign competitors do not have to follow when serving US customers.

“This unique burden for American companies alone could paralyze defi -innovation in this country completely,” they said.

CRA can be a powerful but sometimes blunt tool that spiked in popularity under President Donald Trump’s first period. Where it is stump is in its secondary effect: Any legislative topic that is reversed in this way can never be reintroduced in a similar way, which potentially makes it difficult to apply friendlier rules in the same area.

When Congress tried to use it to abolish the Securities and Exchange Commission’s Crypto Accounting Policy, the staff’s accounting bulletin claimed no. 121, minority that opposed the effort that it would hammering future SEC efforts to tackle digital assets accounting. While both chambers approved the cra effort, then-President Joe Biden veto against the trial, Trump’s temporary SEC chief, Mark Uyeda, left to move recently to get the same thing gained internally.

A CRA decision needs majority approval in both congregations before it can be sent to President Trump for a potential unsubscribe. After the 2024 election, many more pro-crypto legislators at Halls on Capitol Hill go, although Congress attention is a hot item and other urgent questions such as the federal budget are threatening.

In addition to the letter, other crypto organizations also weigh in. A Defi Education Fund spokesman said it is “enthusiastic” to see Momentum building against the “incapacitated, unkind” rule that the group is obliged to ensure that it is not implemented.

Read more: US Treasury emits crypto-tax regime for 2025, delaying the rules of non-Custodians