I just found out that cryptocurrency tax regulations in America are becoming more complicated. They say major exchanges are required to report all transaction details to the IRS, including stablecoins that should have stable value and gas fees that are only a few dollars. The intention seems to be to treat crypto the same as regular stocks, but the result is just a burden for small retail traders.

What's worse, they have to calculate their own cost basis for crypto, while exchanges only send the total gross revenue to the IRS. So if you trade $50, you need to fill out a full tax form—even though that’s not the intended purpose of the country's tax system. Large exchange tax officials say the focus should be on income-generating activities, not small transactions or zero-gain stablecoins.

Until now, there’s no smooth solution for transferring assets between platforms with a clear cost basis. So the most affected are new entrants into digital currencies who don’t understand the complexities of crypto tax regulations in any country. This will cause a lot of confusion this year, especially for those who have never dealt with stocks before.