Coinbase Warns Proposed Crypto Tax Rules Could Enable Surveillance and Stifle Innovation

Coinbase legal chief warns proposed crypto tax rules could enable excessive government surveillance.

Rules require reporting of nearly all digital asset transactions, which he says lacks public benefit.

Regulations could disadvantage crypto compared to traditional finance.

Rules could overburden startups and the IRS with reporting requirements.

Debate highlights balancing act between tax compliance and fostering innovation.