PARITY Act Proposes Sweeping Crypto Tax Reforms for Stablecoins and Miners
Lawmakers introduced bipartisan legislation to modernize cryptocurrency taxation, targeting three pain points: consumer payments with stablecoins, miner/staker rewards, and wash-sale rules. The draft bill would exempt dollar-pegged stablecoin transactions from capital gains taxes when used for routine purchases - treating them like cash equivalents.
For blockchain validators, the proposal defers tax liabilities on newly minted tokens until they're sold or exchanged. This aligns with treatment of other commodity-based rewards. The legislation also applies securities-style mark-to-market accounting and wash-sale rules to digital assets, closing loopholes used by traders.
The PARITY Act represents Congress' most comprehensive attempt to date at creating clear tax standards for the $1.7 trillion crypto market. Its provisions mirror existing frameworks for stocks and commodities while addressing unique aspects of blockchain transactions.
