American Blockchain Association Urges U.S. Congress to Advance Digital Asset Tax Legislation, Proposes Five Policy Principles

The Blockchain Association has written to U.S. congressional leadership urging Congress to advance bipartisan digital asset tax legislation and launched a website to encourage the public to share their views with lawmakers. The association stated that approximately 67 million Americans hold or use digital assets, and existing tax rules have fallen short of meeting industry needs, thereby increasing compliance burdens for taxpayers. Its five proposed policy principles include: establishing a reasonable de minimis transaction exemption threshold; imposing taxes upon the disposition of assets derived from mining and staking rewards; protecting taxpayer privacy; levying taxes based on economic substance rather than technical form; and implementing well-calibrated wash sale rules that prevent abuse without penalizing the daily transactions of ordinary users.