Charles Hoskinson, the co-founder of Cardano, has likened the Internal Revenue Service (IRS) to Ivan the Terrible, suggesting that the IRS's actions during the tax season are detrimental to taxpayers. In a recent social media post, Hoskinson highlighted the annual sell-off of assets that occurs before the April 15 tax deadline, which he believes is causing harm to taxpayers.

The crypto market is currently experiencing a significant drop in value due to macroeconomic factors and geopolitical tensions, causing investors to sell off risky assets. Historically, the US tax deadline has been a significant factor in the decline of crypto assets, as investors move their funds to pay their taxes.

The correlation between the stock market and the crypto market has become more pronounced in recent years, with traditional investors increasingly investing in cryptocurrencies. This correlation is particularly evident in the weeks leading up to the tax deadline, as both markets experience choppy trades and massive outflows.

According to Tom Lee, a Fundstrat analyst, the tax deadline may be causing artificial sell pressure on stocks, leading to a decline in the market. This trend is not limited to stocks, as the crypto market has also experienced a similar decline in recent weeks.

Lee attributes the bearish market movements to investors selling off assets to raise cash to pay for capital gains accrued in previous years. This suggests that the IRS's actions during the tax season may be causing harm to taxpayers, as Hoskinson pointed out in his analogy.

Conclusion:

In conclusion, the tax deadline has a significant impact on the crypto market, causing a decline in value as investors sell off assets to pay their taxes. The correlation between the stock market and the crypto market has become more pronounced in recent years, with traditional investors increasingly investing in cryptocurrencies. The IRS's actions during the tax season may be causing harm to taxpayers, as suggested by Charles Hoskinson's analogy.