The US administration has taken a key step toward empowering the IRS to oversee Americans' international cryptocurrency transactions.

The White House Office of Information and Regulatory Affairs (OIRA) is currently reviewing a proposed rule to implement the Crypto-Asset Reporting Framework (CARF).

This move follows a report released this summer by the White House recommending that the IRS and Treasury establish rules for CARF, an international standard designed to combat tax evasion by requiring digital asset service providers to report their customers' transactions to authorities.

The administration argues that enforcement of the CARF will deter taxpayers from moving their assets to offshore platforms and level the playing field for US-based companies.