Pro-XRP lawyer John Deaton has raised important questions about which projects would be covered by the proposed zero capital gains tax exemptions for US-based cryptocurrency projects. Deaton’s statements focus on how companies with global connections will be affected by the exemptions.
Concerns Over Tax Policies
Deaton, in his statements about the uncertainty of US-based crypto projects, Solana and Tezos $1.1 He questioned whether projects such as those with operations or bases abroad are eligible for tax exemption. Solana Labs operates in San Francisco and Solana Foundation operates in Switzerland.
Tezos, on the other hand, was developed by US-based Arthur and Kathleen Breitman but is managed by the Switzerland-based Tezos Foundation. Deaton stated that there is uncertainty about whether such hybrid structures will be considered US-based entities under new tax policies.
Impact of Tax Incentives on Crypto Adoption
Deaton emphasized that cryptocurrencies such as XRP, XLM, HBAR, AVAX and XCH may face fewer jurisdictional problems. These projects may have the potential to benefit from zero capital gains tax by meeting the criteria on the surface.
Additionally, Deaton questioned whether companies that keep digital assets in corporate treasury would gain a competitive advantage. Especially Ripple 
$3.1He emphasized the possibility of US-based companies such as Gemini and ConsenSys benefiting from tax exemption.
Institutional Crypto Adoption and Treasury Strategies
Deaton, Bitcoin 
$104,158.6evaluated the potential of strategies to include cryptocurrencies such as XRP and HBAR in the company treasury to provide exemptions under new tax policies. He stated that companies such as MicroStrategy can gain tax advantages with these strategies.
Additionally, Deaton criticized past regulatory actions by the U.S. Securities and Exchange Commission (SEC), highlighting the challenges facing the crypto industry. He called for clearer regulations.
“Clarifying regulations is critical to supporting innovation.” –John Deaton
Deaton explained that he identified four main goals for the White House Crypto Council, asking members to focus on SAB 121, strategic Bitcoin reserve establishment, crypto tax payments, and general crypto taxation policies.
In summary, Deaton’s recommendations offer important information about how US crypto projects can benefit from tax exemptions and the challenges that may be encountered in the process.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
