Trump Administration Backs Repeal of IRS DeFi Broker Rule + SEC Drops Lawsuit Against Cumberland DRW

Across Protocol Raises $41M to Expand Ethereum Interoperability

Interoperability-focused Across Protocol has secured $41 million in a token sale round to enhance its role in connecting Ethereum with Layer 2 networks. Led by Paradigm, the funding round included Bain Capital Crypto, Coinbase Ventures, Multicoin Capital, and angel investor Sina Habinian. The capital was raised in two phases in 2024.

Across, developed by Risk Labs, enables fast cross-chain transactions using its intents-based interoperability system. The protocol differentiates itself by prioritizing speed, with most Layer 2 transfers completing in under five seconds. Built on ERC-7683, Across has processed $19 billion in total volume to date, including $1 billion in January alone.

With its latest funding, Across aims to drive adoption of ERC-7683 and further Ethereum’s rollup-centric strategy. The project is also expanding its integrations, recently joining Unichain’s mainnet and powering Uniswap’s in-app bridging across nine chains.

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SEC Drops Lawsuit Against Cumberland DRW Amid Broader Crypto Enforcement Shift

The U.S. Securities and Exchange Commission has agreed to drop its lawsuit against Cumberland DRW LLC, according to the firm. The Chicago-based crypto trading company, a subsidiary of DRW, was sued last year for allegedly acting as an unregistered dealer while trading $2 billion in crypto.

Cumberland announced that a joint filing to dismiss the case was submitted on Tuesday, with the agreement having been reached in principle last month. The SEC declined to comment.

This decision is part of a broader trend, as the agency has recently dropped lawsuits and investigations involving major crypto firms such as Kraken, Consensys, Coinbase, Gemini, and Yuga Labs. The move signals a potential shift in the SEC’s approach to crypto regulation.

Trump Administration Backs Repeal of IRS DeFi Broker Rule

David Sacks, the AI and crypto czar in the Trump administration, announced that the White House supports efforts to rescind the IRS rule expanding the definition of a “broker” to include DeFi software providers. In a March 4 post on X, Sacks confirmed that senior advisers would recommend President Trump sign the repeal if passed by Congress.

The IRS rule, introduced in December 2024 before Trump took office, has faced strong opposition from the crypto industry over concerns about privacy, compliance burdens, and its potential to push innovation offshore. While the rule is set to take effect in 2027, it could impact up to 875 DeFi platforms required to collect user data.

This move is part of a broader push by the Republican-controlled government to ease crypto regulations, with Trump signing multiple pro-crypto executive orders and planning a White House crypto summit on March 7.

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