Golden Finance reported that according to rules published in the Federal Register on Friday, the IRS requires "DeFi brokers" to collect user transaction information. It is reported that "DeFi brokers" will act like traditional brokers handling securities and will be required to collect information about their users' transactions and send them 1099 forms. Brokers are required to send these 1099 forms to their clients. Additionally, some “decentralized finance industry participants” must file tax returns disclosing “the name and address of each customer.” The U.S. Treasury Department noted that the final rule applies to “front-end service providers” that interact “directly with customers,” meaning entities that run the main website used to access a decentralized protocol, rather than the protocol itself. The rule is expected to take effect on or after Jan. 1, 2027, according to the document.