A US lawmaker has introduced a draft bill aimed at updating the country’s tax code as it relates to digital assets.
The move followed the exclusion of cryptocurrency provisions from the recently passed federal spending package. The proposal outlines a series of tax exemptions intended to provide clarity and reduce compliance burdens for participants in the digital asset sector.
Among the main provisions is a de minimis exemption for digital asset transactions and capital gains up to USD 300, capped at USD 5,000 annually. The bill also recommends that taxes on rewards from crypto mining and staking should only be applied when the assets are sold.
Crypto lending and donations are included in the exemptions
The draft legislation includes additional carve-outs for digital assets used in lending agreements and charitable contributions, effectively shielding those activities from taxation. These measures appear designed to address industry concerns around double taxation and the complexity of current reporting requirements.
Representatives from the senator's office noted that the existing tax framework is outdated in the context of emerging digital technologies, and suggested the new bill is an attempt to align regulation more closely with how decentralised systems operate in practice. They added that the proposal aims to reduce regulatory confusion and unintended tax violations.
According to Cointelegraph, digital asset taxation has become an increasingly contentious issue in the United States, with industry participants citing inconsistent rules and a lack of formal guidance. In particular, the treatment of decentralised finance (DeFi) platforms and non-custodial protocols remains unclear. These platforms often operate without a centralised operator or control over user funds, which complicates the application of existing financial regulations.
In a related development last month, members of the House Financial Services Committee introduced an amendment to the Digital Asset Market Clarity Act of 2025. The amendment proposes that developers of decentralised protocols should not be classified as money-transmitting services. If adopted, the change would relieve these entities from tax reporting obligations currently applicable to centralised exchanges and other traditional financial entities.
