Digital assets are transforming the global economy at lightning speed. Regulators and lawmakers are actively trying to understand these mechanics to establish tax rules of the road, most recently in market structure legislation awaiting the U.S. Senate’s consideration.  

To secure U.S. leadership in digital assets for generations to come, we must address the burdensome nature of the current tax code on companies and consumers, and find a path to tax parity with traditional assets. We must resolve technical ambiguities regarding the timing and sourcing of staking rewards and push back against disproportionate compliance burdens like reward bifurcation.  

Finally, we will ensure that new rules, such as de minimis exceptions, thoughtfully address real-world administrability concerns. By tackling these issues head-on during the upcoming markup and beyond, we will foster domestic capital formation and build a tax code that supports industry growth. 

Advancing Tax Clarity

TDC has worked with the House Ways and Means Committee throughout the current legislative effort to help understand the technology and what kind of tax framework makes sense for consumers and the industry. 

• In May, we outlined key pillars for a digital asset tax framework in a letter to the committee and reinforced those priorities in a formal statement for the record for June’s hearing. We have also shared technical analysis with legislators on the digital asset taxation legislative package. 

• Direct Advocacy: Beyond formal submissions, we met directly with the vast majority of Ways and Means offices to advocate for comprehensive, bipartisan solutions conducting over 70 meetings that span more than 50 hours of direct engagement. 

• Educational Roundtables: We have hosted 7 educational roundtables as part of our ongoing series, providing staffers with the insights needed to navigate this evolving landscape and creating a safe space for deeper questions about the causes and effects of the current U.S. tax structure. 
• Bicameral Focus: Alongside these House engagements, our advocacy and education efforts in the Senate remain highly active. 

Whether through one-on-one briefings, educational roundtables, or technical documents on high-impact issues like staking, TDC provides lawmakers with an open line to industry experts so they can understand the technology they regulate. Our commitment and engagement ensures that every policy maker can make sound decisions for their constituents and the industry. 

What’s Next  

With the House Ways and Means Committee expected to mark up a digital asset tax package this September, we must maintain engagement to replace ambiguity with statutory certainty to boost tax compliance, protect retail investors, and secure U.S. leadership.