{"id":125102,"date":"2025-03-14T19:15:29","date_gmt":"2025-03-14T19:15:29","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=125102"},"modified":"2025-03-14T19:15:29","modified_gmt":"2025-03-14T19:15:29","slug":"us-house-kills-irs-defi-broker-rule-solana-wont-cut-80-inflation-rate-finance-redefined","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=125102","title":{"rendered":"US House kills IRS DeFi broker rule, Solana won\u2019t cut 80% inflation rate: Finance Redefined"},"content":{"rendered":"

Source: Cointelegraph.com NewsIn a significant regulatory development for the crypto industry, the United States House of Representatives voted to nullify a bill that threatened the privacy-preserving properties of decentralized finance (DeFi) protocols.
\nIn the wider crypto space, one of the Solana network\u2019s most significant governance proposals was rejected; it sought to implement a mechanism to reduce Solana\u2019s inflation rate by about 80%.
\nUS House follows Senate in passing resolution to kill IRS DeFi broker rule
\nThe US House of Representatives voted to nullify a rule requiring decentralized finance (DeFi) protocols to report to the Internal Revenue Service.
\nOn March 11, the House of Representatives voted 292 for and 132 against a motion to repeal the so-called IRS DeFi broker rule that aimed to expand existing IRS reporting requirements to crypto.
\nAll 132 votes to keep the rule were Democrats. However, 76 Democrats joined with the Republicans to repeal it.\u00a0
\nThis followed the Senate\u2019s March 4 vote on the motion, which saw it pass 70 to 27.
\nThe rule would have forced DeFi platforms, such as decentralized exchanges, to disclose gross proceeds from crypto sales, including information regarding taxpayers involved in the transactions.
\nAfter the vote, Republican Representative Mike Carey, who submitted the repeal motion, said, \u201cThe DeFi broker rule invades the privacy of tens of millions of Americans, hinders the development of an important new industry in the United States and would overwhelm the IRS.\u201d
\nCongressman Mike Carey speaking after the vote. Source: Mike CareyContinue reading
\nSolana proposal to cut inflation rate by up to 80% fails
\nA proposal to dramatically change Solana\u2019s inflation system was rejected by stakeholders but is being hailed as a victory for the network\u2019s governance process.
\n\u201cEven though our proposal was technically defeated by the vote, this was a major victory for the Solana ecosystem and its governance process,\u201d commented Multicoin Capital co-founder Tushar Jain on March 14.
\nAround 74% of the staked supply voted on proposal SIMD-228 across 910 validators, but just 43.6% voted in favor of it, with 27.4% voting against it and 3.3% abstaining, according to Dune Analytics. It needed 66.67% approval from participating votes to pass and only received 61.4%.
\nJain added that this was the biggest crypto governance vote ever, by the number of participants and the participating market cap, of any ecosystem, chain or network.
\n\u201cThis was a meaningful scaling stress test \u2014 a social, rather than technical, stress test \u2014 and the network passed despite a wide stratification of diverging opinions and interests.\u201d
\nContinue reading
\nBitcoin $70,000 retracement part of \u201cmacro correction\u201d in bull market \u2014 Analysts
\nBitcoin\u2019s potential retracement to $70,000 may be an organic part of the current bull market, despite crypto investor fears of an early arrival of a bear market cycle.
\nBitcoin (BTC) fell more than 14% during the past week to close at around $80,708 after investors were disappointed with the lack of direct federal Bitcoin investments in President Donald Trump\u2019s March 7 executive order. It outlined a plan to create a Bitcoin reserve using cryptocurrency forfeited in government criminal cases.
\nDespite the drop in investor sentiment, cryptocurrencies and global markets remain in a \u201cmacro correction\u201d as part of the bull market, according to Aurelie Barthere, principal research analyst at the Nansen crypto intelligence platform.
\nBTC\/USD, 1-month chart. Source: CointelegraphMost cryptocurrencies have broken key support levels, making it hard to estimate the next key price levels, the analyst told Cointelegraph, adding:
\n\u201cThis is a macro correction (US tech will be down by 3% in the future, as discussed), so we have to monitor BTC. Next level will be $71,000 – $72,000, top of the pre-election trading range.\u201d
\nThe analyst added: \u201cWe are still in a correction within a bull market: Stocks and crypto have realized and are pricing; a period of tariff uncertainty and fiscal cuts, no Fed put. Recession fears are popping up.\u201d
\nContinue reading
\nCalls for stricter rules on political memecoins after $4 billion Libra collapse
\nIndustry voices warned that politically endorsed cryptocurrencies must adopt stronger investor protections and liquidity safeguards to prevent another significant market collapse.
\nInvestor sentiment remains shaken after the Libra (LIBRA) token, which was endorsed by Argentine President Javier Milei, suffered a $4 billion market cap wipeout due to insider cash-outs.
\nAccording to blockchain analytics firm DWF Labs, at least eight insider wallets withdrew $107 million in liquidity, triggering the massive collapse.
\nSource: Kobeissi LetterTo avoid a similar meltdown, tokens with presidential endorsements will need more robust safety and economic mechanisms, such as liquidity locking or making the tokens in the liquidity pool non-sellable for a predetermined period, DWF Labs wrote in a report shared with Cointelegraph.
\nThe report stated that tokens from high-profile leaders also need launch restrictions to limit participation from crypto-sniping bots and large holders or whales.
\n\u201cLimiting bot and whale activity is essential in limiting the impact of individuals acting on insider information to corner a large percentage of the token supply,\u201d according to Andrei Grachev, managing partner at DWF Labs.
\nContinue reading
\nHyperliquid ups margin requirements after $4 million liquidation loss
\nHyperliquid, a blockchain network specializing in trading, increased margin requirements for traders after its liquidity pool lost millions of dollars during a massive Ether (ETH) liquidation, the network said.
\nOn March 12, a trader intentionally liquidated a roughly $200 million Ether long position, causing Hyperliquid\u2019s liquidity pool, HLP, to lose $4 million, unwinding the trade.
\nStarting March 15, Hyperliquid will require traders to maintain a collateral margin of at least 20% on certain open positions to \u201creduce the systemic impact of large positions with hypothetical market impact upon closing,\u201d Hyperliquid said in a March 13 X post.
\nThe incident highlights the growing pains confronting Hyperliquid, which has emerged as Web3\u2019s most popular platform for leveraged perpetual trading.\u00a0
\nHyperliquid has adjusted margin requirements for traders. Source: HyperliquidHyperliquid said the $4 million loss was not from an exploit but rather a predictable consequence of the mechanics of its trading platform under extreme conditions.\u00a0
\nContinue reading
\nDeFi market overview
\nAccording to data from Cointelegraph Markets Pro and TradingView, most of the 100 largest cryptocurrencies by market capitalization ended the week in the red.
\nOf the top 100, the Hedera (HBAR) token fell over 24%, marking the biggest weekly decrease, followed by JasmyCoin (JASMY) down over 21% over the past week.
\nTotal value locked in DeFi. Source: DefiLlamaThanks for reading our summary of this week\u2019s most impactful DeFi developments. Join us next Friday for more stories, insights and education regarding this dynamically advancing space.Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"

Source: Cointelegraph.com NewsIn a significant regulatory development for the crypto industry, the United States House of Representatives voted to nullify a bill that threatened the privacy-preserving properties of decentralized finance… <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/125102"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=125102"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/125102\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=125102"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=125102"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=125102"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}