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Source for US federal law that would make it illegal?

Of course, the feds are going to require taxes to be paid in USD, so you will need USD at some point.

Here in Switzerland, you can pay taxes with crypto (at least in the cantons of Zug and Ticino). Money is money.

You can pay CO state taxes with crypto too. The governor of CO, Jared Polis, gave a talk at ETH Denver last year. It's way too late to ban.

That's actually pretty cool. Is Monero an option?