The U.S. Internal Revenue Service (IRS) will implement new mandatory cost basis reporting rules for digital asset brokers starting April 15, 2026. These rules apply to centralized exchanges, custodial wallet providers, and certain digital asset processing entities. Affected entities must submit Form 1099-DA to both the IRS and taxpayers, detailing the sale and exchange of digital assets. The IRS's initiative aims to address underreported capital gains from digital assets and align cryptocurrency tax reporting with traditional securities standards. Investors will need to maintain precise records of purchase prices, dates, and on-chain transaction histories for each token to comply with the new regulations.