In August, the US Treasury Department, together with the Internal Revenue Service (IRS), proposed a set of regulations that would require cryptocurrency brokers to be treated similarly to brokers for more traditional investments such as stocks and bonds. Since then, over 124,000 letters have been received, with 2,000 submitted in just the past two days. Some believe that the proposed rules overly expand the definition of brokers.

On Monday morning, the IRS held a hearing where representatives from the cryptocurrency industry and a small tax preparation firm discussed the impact of the proposed regulations.