Internet reports that the U.S. Internal Revenue Service (IRS) announced new regulations on December 27, defining some decentralized finance (DeFi) protocols as brokers and requiring customer identification (KYC) obligations, triggering strong opposition from the crypto industry. The rule is expected to affect up to 875 DeFi brokers and 2.6 million taxpayers. Legal experts criticized the rule for allegedly exceeding its authority and possibly violating constitutional rights. Alexander Grieve, Vice President of Paradigm, called on the new "pro-crypto Congress" to pass the Congressional Review Act (CRA) to repeal this rule. The Blockchain Association called the rule a "last-ditch attempt to push the U.S. crypto industry overseas" and said it would take action to confront it. It was previously reported that the IRS required "DeFi brokers" to collect user transaction information.