Congress moves forward with bipartisan bill to clarify crypto tax rules

The House Ways and Means Committee voted overwhelmingly to advance the Digital Asset Tax Certainty Act, the first federal legislation to define how cryptocurrencies are taxed. The bill removes the requirement for separate 1099-DA forms for each transaction and aligns digital assets with traditional financial assets for tax purposes, including mining, staking, and charitable donations. Chairman Jason Smith highlighted that the legislation offers the certainty needed to attract investment and fulfill President Donald Trump's ambition to make the United States the "crypto capital of the world."

The measure, passed by a 38-5 bipartisan vote, now proceeds to the full House for consideration. If enacted, it would affect roughly one-quarter of Americans who hold crypto, estimated at over 67 million people. The initiative follows Trump’s earlier declaration at the Blockworks Digital Assets Summit to end what he called the previous administration’s regulatory war on crypto.