A16z, Uniswap Labs and the DeFi Education Fund told Illinois regulators in a letter submitted October 30, 2026, that proposed rules for the state’s digital asset tax could effectively bar decentralized finance services. They argue that the rules would treat decentralized exchanges as tax-collecting brokers even though those exchanges generally cannot identify customers, collect taxes or file returns for individual transactions.
The groups also oppose a proposed requirement to keep customers’ private keys and provisions they say could tax transfers to personal wallets or between blockchains. They asked regulators to revise the rules and await court review of the tax. The 0.2% tax faces legal challenges, and its implementation has been postponed to July 1, 2027.
