Dear IRS and Treasury Department, I am writing to express my deep concerns regarding the proposed regulations on gross proceeds and basis reporting by brokers, specifically the impact on privacy and small businesses. While I understand the need for transparency and accountability in the digital asset market, it is crucial to balance these objectives with individual privacy rights and the growth of small enterprises. First and foremost, I am alarmed by the privacy implications of requiring brokers, including digital asset trading platforms and payment processors, to file information returns and furnish payee statements on dispositions of digital assets. This would mean that a significant amount of personal financial information, including social security numbers, would be made available to numerous third parties. This raises serious concerns about the safety and confidentiality of such sensitive data. With the increasing threat of cybercrime and identity theft, it is imperative that we take proactive measures to safeguard personal information. Moreover, the impact on small businesses cannot be overlooked. These proposed reporting requirements would place an additional burden on small businesses and startups that may not have the infrastructure or resources to implement and track personal identifiable information. The costs associated with compliance could hinder their growth and potentially stifle innovation within the digital asset sector. It is crucial to foster an environment that encourages the development of small enterprises, as they play a vital role in the economy and often drive technological advancements. I respectfully urge you to reconsider the extent of the proposed reporting requirements and take into account the concerns raised regarding privacy and the impact on small businesses. Finding a balance between regulatory oversight and individual rights is paramount, ensuring that personal information is protected while still achieving the goals of transparency and fairness in the digital asset market. Thank you for considering these concerns as you move forward with the proposed regulations. I trust that you will carefully evaluate the feedback provided by the public and take meaningful steps to address these issues in a way that respects individual privacy and supports the growth of small businesses. Sincerely, Luka Morgan