Galaxy Digital Research Director: If the IRS ultimately determines DeFi front-end as brokers, DeFi faces three potential choices

According to reports, the recent report rules issued by the U.S. Internal Revenue Service (IRS) designate decentralized finance (DeFi) front-ends as brokers, which has impacted the crypto industry. Alex Thorn, Director of Research at Galaxy Digital, outlined three potential options for DeFi if IRS rules are not repealed: DeFi services and applications can comply with IRS reporting requirements and accept broker designation, attempt to block users from the United States, or abandon smart contract upgrades and revenue generation.