Blockchain Association urges Congress to pass crypto tax reform legislation

The Blockchain Association asked congressional leadership on Thursday to pass bipartisan digital asset tax legislation, according to Bitcoin Magazine Markets and The Block. The request represents the industry group's first major push on tax policy since the Clarity Act failed in the Senate last month, Bitcoin Magazine Markets reported. [1][4]

The letter was signed by Chief Policy Officer Lindsay Fraser, Bitcoin Magazine Markets reported. The advocacy push comes after the Clarity Act stalled and a House bill was stripped of tax relief provisions for cryptocurrency mining and staking activities, according to Bitcoin Magazine Markets. [1]

Cryptocurrency is a digital asset that utilizes distributed ledger or blockchain technology to facilitate secure transactions. As FTMQ Crypto reported earlier, industry advocacy groups have also taken legal action against state-level digital asset taxes, including a pending case against a proposed tax in Illinois. [9][11]

The likelihood of immediate legislative action remains low because Congress is out of session until after the midterms, Bitcoin Magazine Markets reported. [1]