Need to know what happened in crypto today? Here is the latest news on daily trends and events impacting Bitcoin price, blockchain, DeFi, NFTs, Web3 and crypto regulation.
Today, in crypto, Russian lawmakers approved a six-year ban on cryptocurrency mining in 10 regions. Hyperliquid has seen major net outflows amid concern over possible North Korean activity, and the IRS rebuffed a lawsuit challenging staking taxes.
Russia bans crypto mining for 6 years in 10 regions
The Russian government decided to impose a ban on cryptocurrency mining from Jan. 1, 2025. The ban will remain effective for six years until March 15, 2031.
According to the local news agency TASS, Russian lawmakers also approved seasonal restrictions in key cryptocurrency mining regions to prevent energy blackouts.
The restrictions align with Russia’s cryptocurrency mining laws signed by its president, Vladimir Putin, in August and October 2024.
Hyperliquid net outflows hit $250 million over North Korea hack fears
Hyperliquid has suffered its largest-ever outflows — over $256 million in the last 30 hours to Dec. 24 — after security experts said that North Korean hackers were trading on the crypto derivatives platform.
Metmask security researcher Tay Monahan said in a Dec. 23 X post that the hermit nation’s hackers had been using the platform from as early as October in a bid to “test” how to exploit it.
The post sparked concerns about the platform, and outflows from Hyperliquid on Dec. 23 hit an all-time peak of $502.71 million, while inflows reached over $253.5 million.
Hyperliquid said on Discord it was “aware of reports circulating regarding activity by supposed DPRK addresses. There has been no DPRK exploit – or any exploit for that matter – of Hyperliquid. All user funds are accounted for.”
North Korean hackers such as the Lazarus Group have stolen $1.3 billion worth of crypto in 2024 — doubling last year’s haul in an effort to scrape together cash for the nation mostly cut off from the world by sanctions.
IRS doubles down on crypto staking taxes — Report
The US Internal Revenue Service (IRS) has reaffirmed its stance that staking rewards are taxable income upon receipt, rejecting arguments from a second lawsuit filed by Joshua and Jessica Jarrett.
The couple had contested that rewards from staking should be treated as property and taxed only when sold. In its response, the IRS referred to Revenue Ruling 2023-14, which mandates that staking rewards must be reported as income at their fair market value when they can be sold or exchanged.
According to the tax agency:
“Revenue Ruling 2023-14 requires taxpayers who receive staking rewards to report the rewards as income at their fair market value upon having the ability to sell, exchange, or otherwise dispose of them.”
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