Posted 10 months ago | by Catoshi Nakamoto
The gears of government turn slowly; but grind exceedingly fine”. The ancient Greeks understood the dynamics of power and bureaucracy and sadly nothing has changed. The highly touted infrastructure bill has passed through the lower chamber of congress and has moved on to the Senate. But not before institutions got a chance to work in an amendment designed to outright kill the cryptoverse here in the United States. But all is not lost. There is time to take action.
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Welcome to BitBoy Crypto. Home of the Bitsquad, the largest crypto community in all the interwebs. My name is Ben. Every day on this channel I show YOU how to MAKE MONEY in Crypto. If you like money and crypto then make sure to hit that subscribe button. In this video we reveal the awful crypto legislation inside of the infrastructure bill.
If you are part of the BitSquad and you aren’t in the US, you may just think this doesn’t apply to you. And you could be right. But just like how China banning mining or El Salvador accepting Bitcoin affects the markets, legislation in the worlds largest economy has the potential to affect Crytpo for years to come. Squad members around the world can still get involved and I’ll explain how in a moment.
The Bi-Partisan Infrastructure Bill is a 2702 page bill that says it’s about infrastructure but in reality is just another way for politicians to grease the palms of their big donors. There is so much NON-INFRASTRUCTURE in this bill that I could do a whole other video about it. But for now let’s dig into the amendment that was slipped in just as the bill passed the House and was being prepared for the Senate.
Section 80603 is the text of the infrastructure bill related to crypto. If you want to give it a read we’ve put a link to it in the description. It was “written” by Republican Senator Rob Portman, a long time member of government who’s only work in the private sector was as a small business lawyer. Sounds like a tech saavy guy…and oh look he’s taken money from Blackrock. But the word on the street is that Senator Portman is just a patsy and none other than the office of Janet No-Tellin Yellen wrote section 80603. And it makes sense. Senator Portman has worked in government for longer than I have been alive and has served on various financial committees that interface with the Fed all the time. He knows Yellen. Yellen and her SEC cronies like Gary Gensler really really hate crypto. Especially Defi. And they saw an opportunity to finally get a stranglehold on crypto just before it takes off in the mainstream.
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Let’s get into section 80603. The amendment is a trainwreck and the language is so broad, so confusing and so onerous it’s obvious it was written by a bunch of ole-fi hacks who know nothing about crypto and are only out to protect their Wall Street pets and worse, give up all of your financial privacy. The amendment would: Require new surveillance of ALL crypto users. It would force software developers and creators to put in surveillance or else cease their operations in the US. It would create honeypots of user information that would attract all sorts of hackers and bad actors. It would create more legal complexity for any blockchain development. Anyone who has crypto would have to register as a broker, or use a broker to send crypto anywhere, that goes against the very nature of crypto, it’s peer to peer, trustless transactions. Coin issuers would have to register as a broker.
Miners would have to register as a broker – and all of them would be under the securities legislation of the SEC and the tax reporting of the IRS as a 6045c1. Names, addresses and transactions for all customers would have to be reported to the SEC AND the IRS. DEXs and anything DeFi related would all come under the jurisdiction of the SEC and IRS, with all of their related reporting, fines and fees. Every single customer of a miner of a DEX, of Uniswap of Coinbase and even every single person you send some crypto to would be considered a 1099 employee. And if you mess up reporting even one of these transactions you would get fined, audited and possibly have all your crypto confiscated. And don’t forget the personal information. It would be all stored centrally at either the IRS, SEC or some other porous government agency. The government has been the subject of so many hacks it’s hard to keep track of, SolarWinds anyone? So how do you feel about putting all your transaction IDs and possibly your private keys in the hands of these brainlets. Uh uh. No thank you. I’d rather keep my Ledger in my prison wallet.
This isn’t hyperbole. This is real and it’s being discussed. The entire cryptoverse is on blast and are mobilizing to push the language out of the infrastructure bill or at the least rewrite it to focus the scope. And that’s just it. Everyone in crypto wants regulatory clarity. It will make adoption speed up. It will make taxation clearer and above all…it would give the US and other countries an advantage over China, Russia and Iran. Regulatory clarity is what we need. Crushing bureaucracy and invasions of privacy are not. But crypto has allies in many places. Even in the government. There is support from both the Democrats and the Republicans to fix section 80603. Senator Pat Toomey has come out swinging, calling this amendment “Congress should not rush forward with this hastily-designed tax reporting regime for cryptocurrency, especially without a full understanding of the consequences.” Senator Ron Wyden, a Democrat from Oregon said that 80603 “It’s an attempt to apply brick and mortar rules to the internet and fails to understand how the technology works.” And finally, our favorite laser-eyed senator from Wyoming, Cynthia Lummis is laser-focused on this amendment, saying that digital assets need their own committee to consider these issues instead of drafting amendments in secret. She’s a boss.
It’s hard to overstate just how bad this amendment is. It would effectively stop all crypto innovation, mining and transacting in the US…just as China has dropped the ball and given the free world a chance to take the lead in crypto. This is our moment. We can’t let this sort of legislation happen while we still have a voice and a chance to change it. So if you live in the US. It’s time for action. Call you senator. Email your senator too but phone calls are WAY more impactful. If their office interns and clerks are inundated with pro-crypto phone calls, that’s much harder to ignore than a thousand emails. We have a link in the description to help you find your senator. If you live outside of the US, be active on social media. Tweet at these senators showing your support and engage with others who don’t quite get crypto. But above all. Be nice. Be polite. And just know that most of the people you are contacting know NOTHING about crypto. Don’t be toxic like a maxi. Be awesome…like a Bitsquad member. Use the information we’ve put in the description to get your facts and do your research. This is your chance to bring them to our side…and maybe even the Bitsquad.
But that’s all I got. Be Blessed. Bitboy out.