Coin Center, a Washington, D.C.-based non-profit blockchain advocacy group, has filed a lawsuit against the US Treasury Department for allegedly making an unconstitutional amendment to a controversial infrastructure bill.
In the official ad, Coin Center announced that it has filed a lawsuit against the Department of the Treasury in federal district court challenging the enforcement of Section 6050I reporting requirements under the Infrastructure Investment and Jobs Act. lawsuit read:
“In 2021, President Biden and Congress amended a little-known tax reporting mandate. If the amendment is allowed to go into effect, it will introduce a regime of mass surveillance of ordinary Americans.”
Amendment 6050I requires individuals and entities to report information regarding all incoming transactions of $10,000 or more, including sender’s name, date of birth, and social security number.
Coin Center highlighted in its announcement how the amendment will affect the entire crypto community, including NGOs that receive anonymous donations and non-fungible token (NFT) implementers, who will be required to disclose their client’s personal information to the government.
In the first lawsuit, Coin Center argued that regulation 6050I was not intended to collect information about third parties, but rather focused on information about the general public involved in cryptocurrency transactions.
“The second requirement concerns our freedom of association,” the company added, pointing to a Supreme Court ruling that prohibits the government from forcing organizations to maintain and disclose membership lists.
In closing, Coin Center reached out to the crypto community for support, stating that:
“We are considering adding additional co-plaintiffs to this lawsuit, so if you fit this description and are interested, please contact us.”
Leaked copy of US bill shows DeFi and DAO are under regulatory scrutiny
Last week on June 7th, Cryptooshala came across a leaked copy of the U.S. Cryptocurrency Bill that is circulating on Twitter.
Here you go
(please RT) pic.twitter.com/UOVhIUiUBu
— slam (@bot_slam) June 7, 2022
Further investigations revealed concerns from regulators about protecting users in the ecosystems of decentralized finance (DeFi), stablecoins, decentralized autonomous organizations (DAOs), and cryptocurrency exchanges.
Credit : cointelegraph.com