Bitcoin (CRYPTO: BTC) and Ethereum (CRYPTO: ETH) are trading sharply lower Tuesday after President Joe Biden signed an infrastructure bill which contained crypto tax provisions. Also, reports suggest China recently warned against cryptocurrency mining in the country.
Biden’s spending bill comes with new rules for crypto brokers, including reporting transactions worth over $10,000 for tax purposes. Many people were concerned the term “brokers” was too vague and would impose restrictions on unintended parties, however an amendment to the bill was rejected.
According to reports, Beijing is considering measures such as raising power prices for any institution found to have broken its new crypto mining rules.
A major upgrade to Bitcoin’s network “Taproot” was activated on Sunday. The upgrade is said to improve Bitcoin’s privacy, transaction efficiency and security.
BTC, ETH Price Action: At time of publication, Bitcoin was down 5.81% over a 24-hour period at $60,686 and Ethereum was down 7.38% over a 24-hour period at $4,304.89.
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