Skip to main content

Featured Story

Produced by Daniel Aharonoff & Mogul Media AI

PYUSD Loans and Tokenized Assets: A New Era in DeFi

Unleashing Potential: PYUSD Loans and Tokenized Real World Assets In a groundbreaking development within the decentralized finance (DeFi) sector, a Swiss-based platform, Backed, has emerged as a pivotal player by powering PYUSD loans through tokenized Treasury Bill ETFs. This innovative approach not only enhances the utility of PYUSD but also provides new avenues for users to earn yield on their deposits, thus reshaping the landscape of stablecoins and lending markets. The Mechanics of PYUSD Loans Depository Functionality : Users can deposit PYUSD, a regulated USD stablecoin issued by Paxos for PayPal, into a Morpho Blue vault. This vault supports two types of collateral: Backed's tokenized Treasury Bill ETFs Lido’s wstETH Yield Generation : Depositors of PYUSD earn yield by lending to borrowers who take out loans. This dual engine mechanism—an innovative blend of real-world yields and crypto rewards—optimizes returns across varying market conditions. Tokenized Rea
Post a Comment
Read more
Produced by Daniel Aharonoff & Mogul Media AI

Kraken to Share User Data with IRS: Implications for Privacy and Compliance

Crypto exchange Kraken has announced that it will be sharing data on tens of thousands of its users with the Internal Revenue Service (IRS) in compliance with a court order. The information that will be shared includes cryptocurrency transactions above $20,000 made by Kraken customers between 2016 and 2020. This data will include the users' name, date of birth, Tax ID, address, and contact information. The affected Kraken customers were notified via email on Wednesday, and the company plans to share the user information with the IRS in early November.

Kraken's decision to share this information comes after a two-year legal battle with the federal government over data sharing. In June, a federal judge ordered Kraken to comply with the IRS's request. Despite initially resisting, Kraken is now framing the matter as a victory for privacy advocates and its clients. The company claims that it convinced the court to reject intrusive demands from the IRS, such as IP addresses, employment information, sources of wealth, net worth, and banking details. Kraken maintains that it will always stand up for the privacy of its clients.

It is worth noting that Kraken is not the first crypto exchange to be forced to comply with the IRS's demands. In 2018, American crypto exchange Coinbase was ordered by a federal judge to provide select user data to the tax collecting agency. This highlights the increasing scrutiny that crypto exchanges are facing as regulators seek to ensure compliance with tax laws.

Kraken's decision to share user data with the IRS raises important questions about the balance between privacy and regulatory compliance in the cryptocurrency industry. While some may view this as a necessary step to ensure transparency and prevent illicit activities, others may see it as an infringement on user privacy. As the crypto industry continues to evolve, it is likely that we will see more debates and legal battles surrounding data privacy and regulatory compliance.

Email Post

Comments

Post a Comment

Trending Stories