The majority of digital currencies exist in a sort of twilight state just beyond the grasp of federal regulators, however the United States tax authority is beginning to get smart to this entire bitcoin thing.On Wednesday,
a federal judge in San Francisco ruled that Coinbase needs to supply the IRS with identifying information on users who had more than $20,000 in yearly transactions on its platform in between 2013 and 2015. After observing that the number of income tax return declaring gains from virtual currency didn’t line up with the emerging popularity of digital currencies like bitcoin as a financial investment car, the IRS asked Coinbase to hand over a broad swath of information on its users. Coinbase pressed back, and now the court has arrived at a compromise that the company is calling a ” NurPhoto/ Getty Images
