Koinly CEO: Complex tax system hinders US crypto adoption

Passing the CLARITY Act alone is not enough to improve regulatory certainty for cryptocurrency in the U.S., as significant tax system reforms are also necessary, according to Robin Singh, CEO of crypto tax platform Koinly. In an op-ed for CoinDesk, Singh argued that while the act is considered a turning point for the industry, the current tax framework remains complex and inefficient. He pointed out that some systems fail to accurately reflect investors' true tax situations by omitting acquisition costs and holding periods. Furthermore, activities on DeFi and non-custodial wallets are not tracked, placing the burden on users to manually reconstruct their transaction histories.