Clarity Act needs crypto tax reform for adoption

The Clarity Act, intended to provide regulatory guardrails for the U.S. crypto industry, is being framed as a positive step. However, its effectiveness in driving adoption is questioned due to unresolved issues with the current U.S. crypto tax framework. The Form 1099-DA, meant for transparency, is proving complex for investors, often lacking reliable cost basis and failing to capture non-custodial activity. This forces individuals to manually reconcile extensive transaction histories, creating a significant compliance burden that may outweigh economic benefits for smaller investors.