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Some believe the Senate’s vote to overturn the so-called DeFi broker rule is a win that extends beyond this specific issue.

To recap, the IRS revealed a rule in December that aimed to impose tax reporting requirements on crypto software providers, even those not acting as intermediaries.

In the following month, an overwhelmingly pro-crypto Congress was sworn in. Two days after Trump’s inauguration, Sen. Ted Cruz and Rep. Mike Carey introduced a Congressional Review Act (CRA) resolution to reverse the rule.

Senate Majority Leader John Thune stated in a floor speech that the IRS rule “puts at risk the privacy and security” of millions of Americans trading digital assets, according to an excerpt his press secretary sent me. He also mentioned that it could give foreign companies, which wouldn’t have to comply with such a rule, an advantage.

The Senate’s final vote on the CRA resulted in 70 yeas and 27 nays.

With many crypto-friendly lawmakers now in Congress, this vote was noted as “the first moment to convert that sentiment into action,” according to Blockchain Association CEO Kristin Smith on X. She added that it’s “a hopeful sign” and “bodes well for the efforts to design and pass stablecoin and market structure legislation.”

Van Buren Capital general partner Scott Johnsson remarked last month that this vote would serve as a “heat check” on how Democrats may vote on crypto-related issues in the future. Smith pointed out that 18 Democrats voted to repeal the rule, leading Johnsson to conclude that “productive policy tailwinds got a big boost.”

Ron Hammond, Blockchain Association’s government relations director, commented in response to Johnsson that the vote count was “insanely high” for a CRA.

In terms of future legislation, we heard from Cynthia Lummis last week that stablecoin legislation is the Senate Digital Asset Subcommittee’s top priority.