The U.S. Senate has voted to repeal an IRS rule affecting decentralized finance (DeFi) platforms. This decision is seen as a significant win for the crypto industry. President Trump is expected to sign the bill into law by the end of the week. Supporters believe this will relieve pressure on DeFi developers and promote blockchain innovation.
The Senate voted on March 26, passing H.J. Res. 25 with a strong 70-28 majority. Senator Ted Cruz and Representative Mike Carey led this resolution. It had already been approved earlier in March but required a second vote due to budget rules. The House had previously passed it with a 292-132 vote.
Crypto advocate Dan Gambardello praised the decision, stating that fewer regulations could lead to more innovation. Journalist Eleanor Terrett reported that a Republican source in the Senate indicated the bill could become law by Friday. If signed by Trump under the Congressional Review Act, it would be the first crypto-related law in the U.S. David Sacks, a White House advisor, also supported the resolution.
This vote comes as the crypto industry seeks clearer and fairer regulations. A coalition of organizations, including Coinbase and Kraken, sent a letter to Congress on March 26. They criticized the Department of Justice’s (DOJ) interpretation of money transmission laws. They argue that the DOJ’s stance could unfairly criminalize software developers who create blockchain tools without holding user funds.
The coalition claims these developers use non-custodial technologies, meaning they do not access customer assets. They believe treating them as money transmitters contradicts legal tradition and could hinder U.S. tech innovation. The letter urges Congress to encourage the DOJ to reconsider its position to protect developers and align U.S. law with legal history.
