Crypto Exchanges Obliged to Share Customer Data With Regulators

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The US Department of the Treasury ha unveiled new proposals that would oblige cryptocurrency exchanges, wallets and brokers to share data on their cryptocurrency users with the regulators.

On the budget proposal for 2022 made by the Joe Biden’s administration, the government has included new measures that crypto-related companies will have to comply with in order to fight tax evasion. According to the proposal:

“Tax evasion using crypto assets is a rapidly growing problem. The global nature of the crypto market offers opportunities for US taxpayers to conceal assets and taxable income by using offshore crypto exchanges and wallet providers.”

Per the document, cryptocurrency brokers, which include crypto exchanges and custodial wallets, will have to share information about the owners of the accounts, which will then be shared with the international reporting networks to which the US is already a party.

We should remember that cryptocurrency exchanges offering their service in the US already must keep information on their clients, so the actual change is that the information will be exchanged between exchanges internationally.