Ever since they got a list of currency ownership from Coinbase a few years ago, their interest has ratcheted up.
Several issues still remain. The IRS treats crypto as an investment, the SEC treats it as currency.
But with the Treasury's emphasis on FBAR and FINCen 114 reporting, any crypto that uses a foreign trading center may be in violation of a bunch of rules that only expats have dealt with. Not fun at all.
We all know that it's coming.
“The IRS has been trying to wrap its hands around cryptocurrency for several years.”
Yes. All that is new is the specific question.