The crypto community is stunned by the news that there will be zero capital gains tax on US-based crypto projects. This development came to the fore when Donald Trump signed a regulation that includes the creation of a national digital asset stock, within the scope of his decision to make cryptocurrency policies a national priority. However, experts suggest that cryptocurrencies and projects developed in the USA may not benefit from the zero tax advantage.
Why Zero Capital Gains Tax Is Unlikely
Dennis Porter, CEO and co-founder of Satoshi Action Fund, stated in a post on January 26 that capital gains on cryptocurrencies are entirely up to the US Congress. Porter stated that such a proposal is unlikely to be included in a tax law in the near future.
Porter added that the biggest hurdle would be a significant loss of government tax revenue, so approval of the proposal now appears difficult. He emphasized that the main agenda of the Trump administration is tax cuts and that any policy that threatens these cuts will remain in the background.
Solution Suggestions from the Crypto Industry
Dennis Porter believes the crypto industry can take meaningful steps to reduce tax liabilities. Porter, Bitcoin $104,673.8 and proposed a $200 de minimis exemption for other digital asset transactions.
“Americans shouldn’t have to report small transactions like coffee, food or groceries for tax purposes. This overcharging is difficult to achieve, and it is time to pursue this simplification in the tax code.”
Porter noted that the U.S. Congress has provided bipartisan support for the idea and that it could become a reality with a de minimis exemption. To be successful, he said, it requires a link to inflation and bipartisan support that balances innovation and fairness.
“Capital gains taxes will not be zero. Work towards achievable goals for concepts,”
Eric Peterson, policy director of the Satoshi Action Fund, stated that it is not possible for capital gains taxes released to go to zero. Eric Trump, who supports zero capital gains tax for US-based crypto projects, also announced that he foresees a 30% capital gains tax for projects outside the US. Experts state that this sharp distinction aims to attract global crypto investments to the USA.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
