White House Weighs On U.S. Joining Global Crypto-Account Reporting Framework

The White House is reviewing a proposed rule from the Internal Revenue Service that would allow the United States to join the global Crypto-Asset Reporting Framework, or CARF. The initiative aims to give the IRS access to information about Americans’ crypto accounts held overseas, tightening oversight on digital assets stored abroad.

Originally developed by the Organisation for Economic Co-operation and Development, CARF is designed to create a standardized international system for tax authorities to automatically exchange data about citizens’ crypto holdings. If approved, the U.S. would join dozens of other countries already adopting the framework, including major G7 economies and leading crypto jurisdictions such as Singapore and the Bahamas.

The move represents a major step toward aligning U.S. crypto tax policy with global reporting standards. While the proposal emphasizes compliance and cross-border transparency, the administration has indicated that DeFi transactions may remain exempt from additional reporting requirements under this rule.

Implementation of CARF is expected to begin in 2027, allowing governments and exchanges time to establish the necessary reporting infrastructure. For U.S. taxpayers with foreign crypto accounts, the change could significantly increase IRS visibility into offshore activity, closing one of the last major gaps in international crypto oversight.

In practice, foreign exchanges may soon be required to share account data for U.S. users directly with American tax authorities, and investors could face expanded disclosure obligations. The review marks another step in the federal government’s growing push to bring crypto assets under the same transparency standards as traditional financial accounts.