Chuck Rettig, the new IRS commissioner comes from a tax litigation background. He's got a lot of experience and is preparing for one of the next big tax battles which is how to bring crypto under compliance with the current tax regime.
I still think they lack the technical knowledge to understand crypto and as a result, you'll start to see an increase in information being requested.
In any case, I willing to bet that you'll have a couple of court cases that will really bring crypto into compliance in a way that makes sense for 80% of the people.
> I still think they lack the technical knowledge to understand crypto and as a result, you'll start to see an increase in information being requested.
On the contrary, I think that the IRS knows cryptocurrency very well. The reason why the IRS requests information is that they want to prove to a court that they went out of their way to give taxpayers the benefit of the doubt. They want to be able to tell a judge "we gave this person ample opportunity to explain the situation and correct any misunderstandings before taking enforcement action". The IRS will go through the motions of requesting information even if—especially if—they know full well that fraud has occurred, just to strengthen their case.
I still think they lack the technical knowledge to understand crypto and as a result, you'll start to see an increase in information being requested.
In any case, I willing to bet that you'll have a couple of court cases that will really bring crypto into compliance in a way that makes sense for 80% of the people.