Senate Greenlights Trump’s Colossal Budget Bill—Crypto and Bitcoin Nowhere in Sight

Washington shakes as the Senate rubber-stamps Trump's trillion-dollar budget—while digital assets get ghosted.

No love for crypto

Lawmakers somehow managed to debate fiscal policy without uttering 'Bitcoin' or 'blockchain' once. Guess those lobbyist checks got lost in the mail.

Wall Street breathes easy

Traditions hold strong—the old guard keeps its grip while decentralized finance gets left out of the conversation. Again. Some things never change in the marble halls of power.

Final thought: Maybe next budget cycle they'll discover Bitcoin exists...right after they figure out email attachments.

Miners and stakers seek relief from taxation

Currently, the IRS classifies profits from crypto mining and staking as income, which is taxed at fair market value at the time of receiving them. Once the miners sell their crypto, they have to report capital gains and pay a flat rate on these profits.

While these taxes don’t strictly entail double taxation, miners and stakers complain that the system is overly burdensome. Namely, they have to pay taxes before realizing any profits, or before converting any crypto to fiat.

Lummis also advocated for tax exemptions for small crypto transactions, or a “de minimis” rule. These are often transactions that involve small payments for gas fees, small transfers, etc. While transactions don’t generate much tax income, they are a significant burden when it comes to tax reporting.

The crypto industry was one of the biggest donors in the November 2024 elections. They supported candidates from both parties, raising over $190 million for their campaigns.