I'm not so sure. Unless an EU citizen wants to risk submitting a false tax return under penalty of perjury, any DeFi money that results in a profit has to be re

I'm not so sure. Unless an EU citizen wants to risk submitting a false tax return under penalty of perjury, any DeFi money that results in a profit has to be reported elsewhere. Your bank will probably also start to ask questions if you do enough DeFi activity. You can probably get away with small transactions, but is it honestly worth the risk? I don't see this law as impossible to enforce, but rather, difficult to enforce. The government will still try, and most likely succeed in catching several institutions that don't comply. Governments don't actually need thorough enforcement for laws to be effective. Being easily capable of breaking a law does not mean that the law is unenforceable.