# Congress nullifies the DeFi broker reporting rule under the Congressional Review Act

> Public Law 119-5 disapproved the Treasury and IRS final rule that would have required specified non-custodial DeFi participants to report digital-asset sales as brokers. The agencies subsequently removed the rule from the CFR and treated it as having no legal force or effect.

- URL: https://riadefi.com/regulation/2025-04-10-irs-defi-broker-reporting-cra-revocation/
- Posture: Enacted law
- Authorities: United States Congress; U.S. Department of the Treasury; Internal Revenue Service
- Event date: 2025-04-10
- Version: 1, published 2026-08-07 (first published 2026-08-07)
- Advisor-relevant: yes

## What changed

Public Law 119-5 disapproved the Treasury and IRS final rule that would have required specified non-custodial DeFi participants to report digital-asset sales as brokers. The agencies subsequently removed the rule from the CFR and treated it as having no legal force or effect.

## Who it affects

- Operators of DeFi trading front ends and other non-custodial interfaces addressed by the revoked rule
- Advisers assessing transaction-record and tax-reporting dependencies
- Digital-asset users whose activity would have been reported under the rule

## What is still open

- Other existing tax reporting and taxpayer recordkeeping obligations
- Future legislation or materially different rulemaking
- Classification of custodial brokers and other intermediaries under rules not revoked by Public Law 119-5

## What it means for an advisor

- Remove the revoked DeFi broker rule from forward-looking vendor and workflow assumptions
- Do not infer that clients or advisers have no digital-asset tax recordkeeping obligations
- Distinguish non-custodial DeFi interfaces from custodial brokers covered by other reporting rules

## Previous interpretation

The December 2024 final rule was expected to bring specified DeFi trading front-end providers into section 6045 reporting beginning with later transaction years.

## Sources

1. [Revocation of T.D. 10021 — Gross Proceeds Reporting by DeFi Brokers](https://www.irs.gov/irb/2025-31_IRB) · U.S. Department of the Treasury and Internal Revenue Service · 2025-07-11 · effective 2025-07-11


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Published by Ketju Research on RIADeFi (https://riadefi.com). Educational research for financial professionals; not investment, legal, tax, or compliance advice.