By Yasin Ebrahim
Investing.com - Bitcoin cut some its gains Thursday as the Treasury Department said it would require that any transfer worth $10,000 or more to be reported to the Internal Revenue Service.
BTC/USD rose 6.78%, to $39,928, but had traded as high as $42,425.
“As with cash transactions, businesses that receive cryptoassets with a fair-market value of more than $10,000 would also be reported on,” the Treasury Department said in a report on tax-enforcement proposals released Thursday.
The announcement arrived a day after billions of dollars was wiped off the total crypto market, led by a plunge in BTC to $30,261.
The U.S. crackdown comes amid concerns cryptos are being used in criminal activity including tax evasion.
“Cryptocurrency already poses a significant detection problem by facilitating illegal activity broadly including tax evasion,” the Treasury said.