Blockchain Association urges Congress to pass crypto tax framework
The Blockchain Association sent a letter to congressional leadership urging the passage of bipartisan digital asset tax legislation guided by 10 principles, including cash treatment for stablecoins and a de minimis exemption for small transactions.
The Blockchain Association sent a letter on Oct. 22 to top congressional leaders calling for bipartisan digital asset tax legislation. Addressed to House Speaker Mike Johnson, House Minority Leader Hakeem Jeffries, Senate Majority Leader John Thune, and Senate Minority Leader Chuck Schumer, the letter was signed by the trade group's chief policy officer, Lindsay Fraser. Fraser argued that 67 million Americans now hold and use digital assets, but current tax regulations are outdated, unclear, and unworkable.[3][6]
The trade group presented a framework of 10 Digital Asset Tax Principles, first introduced in February. The proposals include creating a de minimis exemption for small transactions, treating stablecoins like cash to provide relief from Form 1099-DA reporting, and deferring taxes on mining and staking rewards until the assets are sold. The group also asked lawmakers to allow crypto in retirement accounts, limit broker reporting rules strictly to custodial intermediaries that control customer funds, and ensure transfers between a user's own wallets or across bridges remain tax-free when beneficial ownership is unchanged.[1][2][3]
The lobbying effort arrives while broader market structure legislation remains stalled on Capitol Hill. While the House Ways and Means Committee advanced the Digital Asset Tax Certainty Act in September, the Senate failed to advance the Clarity Act when a procedural vote fell short on Sept. 15. The Blockchain Association argued that broader regulatory progress cannot succeed without an administrable and technology-neutral tax regime.[3][4][5]
Key facts
- On Oct. 22, the Blockchain Association sent a letter to leaders of both parties in the House and Senate urging action on digital asset tax legislation.
- The letter, signed by Chief Policy Officer Lindsay Fraser, stated that 67 million Americans hold digital assets under tax rules that were written for a different era.
- The association's 10 principles include cash treatment for stablecoins, a de minimis exemption for small transactions, and exempting self-transfers between wallets from taxation.
- The proposals advocate taxing mining and staking rewards only upon disposal and limiting broker reporting rules strictly to custodial firms.
- Additional principles support allowing crypto in retirement accounts, extending wash sale rules without disadvantaging crypto, and offering R&D tax credits for blockchain development.
- The push comes as the broader Clarity Act remains stalled after falling short in a Senate procedural vote on Sept. 15.
Sources · 6 sources
- LS
Laura Shin@laurashinPost on X ·
Crypto tax wish list: the Blockchain Association wants wash sale rules extended to digital assets, no tax on transfers between your own wallets, and R&D credits for blockchain development. https://t.co/tII4YDKxJu
Open source - CO
CoinDesk@CoinDeskPost on X ·
LATEST: The Blockchain Association urges Congress to overhaul crypto tax rules, calling for stablecoin cash treatment, staking rewards taxed only at sale, de minimis exemptions for small transactions and limits on broker reporting to custodial intermediaries only. https://t.co/EXUjIAFzkz
Open source - UN
UnchainedArticle ·
Blockchain Association Urges Congress to Pass Crypto Tax Rules, Lays Out 10 Principles The Blockchain Association asked congressional leaders on Thursday to pass bipartisan digital asset tax legislation , setting out 10 principles it wants any bill to follow, from a de minimis exemption to letting Americans hold crypto in retirement accounts. The trade group, which says it has more than 100 members, sent the letter on Oct. 22 to House Speaker Mike Johnson and Minority Leader Hakeem Jeffries, as well as Senate leaders John Thune, the majority leader, and Chuck Schumer, the minority leader. Lindsay Fraser , the association’s chief policy officer, signed it. “Sixty-seven million Americans now hold and use digital assets, yet the rules that govern them were written for a different era,” the letter said. Lawmakers’ progress on crypto market rules, the group argued, “cannot fully succeed without a tax framework that is clear, administrable, technology-neutral, and aligned with economic reality.” Get Unchained’s crypto news in your inbox with the free Unchained Daily newsletter . What the Group Wants The association calls the list its Digital Asset Tax Principles . The group first published the principles on Feb. 24, timed to a Capitol Hill fly-in by its members. Besides a small-transaction exemption, it asks Congress to treat stablecoins like cash, including relief from Form 1099-DA reporting, and to limit broker reporting to firms that hold or control customer funds, leaving out non-custodial developers. It also backs extending wash sale rules to crypto, as long as digital assets aren’t put at a disadvantage to stocks and other traditional assets. Shifting coins between a holder’s own wallets, using smart contracts or bridging across blockchains should not be taxable when ownership and exposure don’t change, the letter said. The rest of the list: mining and staking rewards taxed when the holder disposes of them, an optional mark-to-market election, a safe harbor for foreign persons trading crypto on U.S. exchanges, no appraisal requirement for charitable gifts of widely traded tokens, and R&D tax credits for blockchain development. Where Congress Stands The letter does not name a specific bill. In the House, the Ways and Means Committee advanced the Digital Asset Tax Certainty Act in September. That bill would exclude crypto used to pay network or trading fees of $10 or less from gain or loss calculations, starting in 2028. The broader market structure push is stuck in the Senate. The chamber failed to advance the Clarity Act on Sept. 15, when a procedural vote came up short of the required 60 as Democrats pressed for ethics limits tied to President Trump’s crypto ventures. “Americans who hold and use digital assets are not asking for special treatment under the tax code,” the letter said, adding that they “want to meet their tax obligations.” Related Listen: Why the Clarity Act’s Senate Clock Is Running Out The post Blockchain Association Urges Congress to Pass Crypto Tax Rules, Lays Out 10 Principles appeared first on Unchained .
Open source - TB
The BlockArticle ·
Blockchain Association pushes for crypto tax clarity as broader bill stalls As progress stalls on a crypto bill, the Blockchain Association is urging Congress to pass legislation to resolve uncertainty around taxes.
Open source - BS
BSCN@BSCNewsPost on X ·
Crypto Tax Reform Gains Urgency as CLARITY Act Falters The Blockchain Association (@BlockchainAssn) wants Congress to fix unclear crypto tax rules while the CLARITY Act remains stalled. The group says existing rules are difficult to follow and need an overhaul. Its proposals include tax exemptions for transactions involving $10 or less in network fees, stronger taxpayer privacy protections and extending wash sale rules to crypto.
Open source - TB
The Block@TheBlockCoPost on X ·
THE BLOCK: The Blockchain Association urged lawmakers to pass crypto tax legislation in a letter to Senate leadership on Thursday. “Americans who use digital assets aren't asking for special treatment," said Lindsay Fraser, chief policy officer of the Blockchain Association. "They want to follow the law and pay the taxes they owe, but today's rules are often unclear and unworkable."
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