Do you pay taxes on DeFi?

I'm curious, do individuals have to pay taxes on their earnings from decentralized finance, or DeFi, platforms? I understand that cryptocurrency transactions can be complex and often involve multiple parties and jurisdictions, so I'm wondering if there's a clear-cut answer to this question. Is it necessary to report DeFi earnings to tax authorities, and if so, how are they taxed? I'm interested in understanding the legal and financial implications of participating in DeFi activities.