Bipartisan Bill Proposes Crypto Tax Reforms for Stablecoins and Staking

U.S. lawmakers are advancing a legislative framework to simplify cryptocurrency taxation, targeting stablecoin transactions and staking rewards. Representatives Max Miller (R-OH) and Steven Horsford (D-NV) introduced a draft bill that exempts capital gains taxes on stablecoin transfers under $200 and allows a five-year deferral for income tax on staking and mining rewards.

The proposal aligns crypto taxation with traditional securities by applying mark-to-market accounting and extending wash sale rules to digital assets. This move addresses industry concerns over complex reporting requirements and could accelerate institutional adoption of blockchain technologies.

Stablecoin users stand to benefit most from the $200 transaction exemption, while proof-of-stake networks like ethereum may see increased validator participation due to deferred tax liability on rewards. The bill represents the most significant congressional effort to date in creating tailored tax policies for digital assets.