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⌐◪-◪ → The IRS’ last dying breath that backfired.

The anti-crypto army has made one last push before Trump’s inauguration.

The IRS has finalized its broker rule, requiring most DeFi front ends to KYC users starting in 2027. Under this new rule, DeFi platforms (not users) are being treated as brokers, making them responsible for gathering and reporting user data.

This includes websites, wallet extensions, and interfaces enabling token swaps. Starting 2027, platforms will need to:

• Collect KYC information like centralized exchanges.

• Track user transactions and issue Form 1099-DAs.

The industry is already fighting back. Less than 24 hours after the announcement, crypto players filed a lawsuit against the IRS, challenging the rule.

Expect DeFi platforms to geo-block the U.S. or redesign their products to avoid compliance burdens. Privacy in decentralized finance is now more at risk than ever. This is certainly not good news, but I have a feeling it won’t last.

⌐◪-◪ → Do Kwon is coming to town.

Montenegro has officially approved Do Kwon’s extradition to the United States, where he faces fraud charges linked to the $40B collapse of TerraUSD (UST).

This decision ends a months-long legal tug-of-war between the U.S. and South Korea, both of which requested Kwon’s extradition. He was previously arrested in Montenegro while attempting to leave using a fake Costa Rican passport.

Kwon’s U.S. charges include fraud tied to the implosion of TerraUSD, which was intended to be a stablecoin pegged to the dollar but instead wiped out billions of dollars in market value. The SEC has already settled a $4.5B case with Terraform Labs.

The timing of Kwon’s extradition is still uncertain, but his arrival in the U.S. could set the stage for one of crypto’s most high-profile trials to date.

⌐◪-◪ → Germany wants Bitcoin in the ECB!

Christian Lindner, Germany’s former finance minister, has suggested that Bitcoin should be included in the reserves of the European Central Bank (ECB) and Germany’s Bundesbank.

This proposal signals a growing recognition of Bitcoin’s potential as a strategic asset in traditional finance, despite its volatility. If the ECB ever adopts Bitcoin, it would mark a significant milestone in the digital asset's journey to mainstream adoption.

This is the Bitcoin standard playing out in real-time. We’ve already seen corporations and banks adopt Bitcoin; now states and nations are beginning to join the game.

Bitcoin is cementing its role as a global reserve asset, and it’s only a matter of time before more countries follow suit.

Meanwhile, Hong Kong is exploring a similar path, with a legislator proposing Bitcoin’s inclusion in the city’s national reserves to enhance financial security under its 'one country, two systems' policy.

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