It's been a hectic end to the week in the Bitcoin world as it was revealed to the public that members of Congress slipped a clause into an infrastructure spending bill that was scheduled to be voted on this afternoon that would absolutely stifle bitcoin users, businesses and adoption in the United States. Many who were able to get their eyes on the many drafts of the bill have stated that it supposedly includes language that would make it so every bitcoin transaction needed to be reported to the IRS and taxed. On top of this, those who fall under the extremely vague definition of "broker" as stated within the bill would have to collect KYC/AML information on their counterparts and issue 1099s as well as report the interactions with those counterparts to the IRS.
Many of the lawyers in the space who have had access to drafts of the bill believe the way the language is structured would mean that miners would fall under the definition of "broker" and therefore be forced to collect personal information of the individuals who broadcasted the transactions included in the blocks they mine. Since this is literally impossible, it means that if this bill is passed with this section included it would essentially outlaw mining in the US overnight due to the inability of miners to comply. Needless to say, it is pretty evident that this bill was either written by a bunch of idiots who have no idea how Bitcoin works or a nefarious bunch dead set on stopping bitcoin adoption in the United States.
Well, as Representative Warren Davidson explains above, it appears that the latter scenario is what's happening here. The Treasury Department headed by Janet Yellen, ex-Chairwoman of the Federal Reserve, is the driving force behind the aggressive language pertaining to Bitcoin within the bill. Janet seems to have taken the baton from Steve Munchin Butts' Treasury, which attempted to pass legislation earlier this year before Trump officially left office that would have made it illegal for bitcoin users to send transactions in a peer-to-peer fashion. Yellen isn't taking the same exact approach, but she is essentially doing the same thing because if the law is passed as is it would make it impossible to legally send a peer-to-peer transaction without snitching on your counterpart, who you may not even know.
All of this says to your Uncle Marty is that the Treasury Department is effectively attempting to ban Bitcoin in the US without coming out and doing so directly. Even though this is extremely enraging, it should be expected. Bitcoin is the biggest threat to the credibility and efficacy of the Treasury, which cannot stop gorging itself on debt, and the Federal Reserve, an institution that has proven to be woefully incompetent when it comes to managing monetary policy in the United States, which Janet used to lead.
If Bitcoin continues its success and more individuals opt to use it over the cuck bucks they have subjected to by the Federal Government, those in power of the money and the ability to issue debt in the form of treasuries have everything to use. They would rather prevent the common man from accessing and using one of the most groundbreaking technologies humans have ever come into contact with than lose their grip on the immense amount of power they hold.
It may be frustrating at the moment, but this is a sign of Bitcoin's strength. It can no longer be ignored. It is a force to be reckoned with and the powers that be are attempting to use the Federal Government to stop it in its tracks in the US. The most their efforts can accomplish is temporarily annoying those who think they have to comply. They will do nothing to perturb the Bitcoin network or the production of blocks. Maybe some hashrate in the US will shut off for a bit, but difficulty will adjust, and that hash will return in some other part of the world where Freedom reigns supreme. The biggest hit will be to the credibility of the US Government, which will effectively prove itself to be a freedom hating despotic regime dead set on ushering its citizens into a digital panopticon where everyone is surveilled like a dirty prisoner.
If this bill does pass with this clause included I plan to disobey. That's what this moment in history calls for; civil disobedience in the face of tyranny. It's time to ignore this criminal class that has proven time and time and time and time and time and time again that they are either woefully incompetent or devilishly evil.
The rise of the Common Man is upon us and they are afraid. Very afraid. Keep pushing.
I used to be afraid to swim in the bay because of sharks.
Enjoy your weekend, freaks.