U.S. residents have missed out on as much as $2.6 billion in potential revenue from cryptocurrency airdrops due to regulatory restrictions. A report by venture capital firm Dragonfly highlights that these restrictions, aimed at avoiding regulatory scrutiny, have also cost the U.S. government up to $1.4 billion in lost tax income over the past four years. The study focused on 11 major airdrops since 2020, which together generated over $7.16 billion. The median claim per eligible address was $4,562. Geoblocking, a method to exclude U.S. IP addresses, was used to avoid regulatory issues, affecting approximately 5.2 million U.S. crypto users. This has led to an estimated tax revenue loss of between $525 million and $1.38 billion. The regulatory uncertainty has driven crypto startups offshore and entangled larger companies in legal battles with regulators.
To provide the best experiences, we use technologies like cookies to store and/or access device information. Consenting to these technologies will allow us to process data such as browsing behavior or unique IDs on this site. Not consenting or withdrawing consent, may adversely affect certain features and functions.
Functional
Always active
The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
Preferences
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
Statistics
The technical storage or access that is used exclusively for statistical purposes.The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
Marketing
The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
