Panic spreading as bitcoin price goes up and down

Bitcoin prices have been hit as concerns grow about the impact of the provisions of a large infrastructure bill.

Concerns about the proposed US law have increased as $ 6,000 has been cut from the price of Bitcoin.

Bitcoin fell from its AUD high of $ 57,262 to $ 51,454 on Wednesday at 7:00 am amid growing concerns about the impact of the $ 675 billion infrastructure bill proposed by US President Joe Biden.

Bitcoin has skyrocketed in the last few weeks after a topsy-filled year.

I needed to dive Elon Musk hinted that Tesla might dump Holding of cryptocurrency in May.

Cryptography Chinese regulators crack down It also hit prices in June.

There are also warnings that there is currently jitter on infrastructure bill provisions that could raise $ 37.81 billion from crypto investors, which could “kill” the industry.

Related: China bans Bitcoin to create its own cryptocurrency

“This is a very erroneous provision, and if adopted, it would do far more harm than it would benefit the US interests,” wrote lawyer Jake Chelbinski. Long twitter thread..

He explained that the bill expands the definition of “broker” to include “everyone who is responsible for and regularly provides services that enable the transfer of digital assets (for consideration).”

This may increase the reporting requirements of the Internal Revenue Service.

The “broker” may also be forced to collect customer data such as name, address and phone number.

“This definition is so broad that, literally, it could apply to almost any economic agent in the US crypto industry,” says Chervinsky.

“This sounds insane, but it can happen.

“Most ciphers don’t go anywhere, so it’s easy to ignore. Not this time.

“This provision is part of a popular bipartisan infrastructure bill that is very likely to pass parliament quickly and be passed.

“First, it’s unreasonable to adopt regulations that are literally impossible to comply with unless the goal is to kill the industry.”

This provision was included to essentially support the financing of the enormous costs of the bill.

Chervinsky explained that it is necessary to include a “payment” clause to increase the income of new spending so that the income is neutral as a whole.

The Joint Committee on Taxation predicts that the bill’s provisions will generally boost revenues of $ 68.87 billion.

Charles Rettig, IRS Commissioner, requested Congress in June for broader authority to collect information on cryptocurrency transactions.

Rettig said these transactions are often “off the radar screen” by design, but the world’s latest market capitalization of cryptocurrencies is over $ 2.7 trillion and over 8600 worldwide. There was an exchange.

The original revenue increase clause, which was removed from consideration after losing Republican support, included giving the IRS $ 50 billion to strengthen its enforcement and tax collection initiatives as a means of cracking down on non-compliance filers. I did.

Senate leader Chuck Schumer said he hopes to vote on the infrastructure bill this week.

– When Fox news

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