A lawsuit challenging the IRS’s position on the taxability of cryptocurrency tokens became moot after the agency issued a refund check, a federal appeals court ruled Friday.
The decision is a blow to Joshua Jarrett, a cryptocurrency tokens creator who refused to deposit the check and asked the court system to keep his case alive. Jarrett created the tokens through staking, a process that generates new tokens through using both existing tokens and computing power to validate currency transactions.
The ruling comes less than three weeks after the Internal Revenue Service issued new guidance making clear its current position is ...