Two major U.S. federal agencies — the Department of the Treasury and the Internal Revenue Service (IRS) — have jointly introduced a comprehensive set of cryptocurrency regulations.

The initiative underscores the growing importance of digital assets in the financial landscape and the government’s commitment to ensuring their transparent and lawful use.

The proposed regulations primarily address information reporting, the determination of the amount realized, basis, and backup withholding for certain digital asset sales and exchanges. These guidelines are rooted in both existing authority and the provisions of the Infrastructure Investment and Jobs Act.

Key Highlights

Bitcoin, Ethereum and Dogecoin were seen largely flat on Tuesday evening as the global cryptocurrency market cap inched up 0.4% to $1.04 trillion at the time of publishing.

The cryptocurrency news landscape on Tuesday was largely dominated by The Financial Accounting Standards Board (FASB) reaching a unanimous decision to endorse regulations for the accounting of fair values associated with companies’ cryptocurrency holdings. These regulations are scheduled to become effective in the year 2025.

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Edited by Arnab Nandy and Newsdesk Manager