BTC Groups Urge Congress to Expand Crypto Tax Relief Beyond Stablecoins News
A group of organisations that support BTC has asked congressional leaders to expand proposed tax breaks for cryptocurrency transactions to include BTC and other primary network tokens. They say that limiting the breaks to stablecoins would not solve the widespread compliance difficultys that everyday users face.
The BTC Voter, Blocks, Crypto Council, Digital Chamber, MoonPay, River, and other groups wrote a letter to House Ways and Means Committee Chairman Jason Smith and Senate Finance Committee Chairman Michael Crapo asking for network tokens to be included in the de minimis relief framework set up by the GENIUS Act, which became law in July 2025.
The gives tax breaks to some payment stablecoins, treating compliant ones like currency with no limits on how much can be spent. The alliance, on the other hand, says that this narrow focus ignores the vital function that blockchain network assets like play in securing and processing transactions on those networks.
The letter says, “Without calibrated de minimis relief, the result will be widespread discrepancies, unnecessary audit risk, and reporting complexity vastly disproportionate to the economic substance of the transactions involved.”
Compliance Burdens Discourage Everyday Crypto Use
According to the IRS, BTC is property, which means that every transaction, even purchaseing excellents or services with BTC, is a taxable capital gains event. Users have to keep track of their cost base, figure out their earnings or losses, and report them, which makes it very hard to make regular payments.
Zakhil Suresh, who owns BitSave, a company that manages crypto assets, talked about how this will affect people in real life: “Imagine having to pay capital gains every time you use your card? It is absolutely making people less likely to utilise. If the U.S. wants to be the world’s crypto capital, it needs to let people use crypto as money with no limits or compliance issues.
The groups want to make relief more available by setting specific rules. For example, network tokens must have a of at least $25 billion, individual transactions must be limited to $600, and annual restrictions must be set at $20,000. This structure is meant to allow for simple, low-friction use while also prioritizing securety.
Growing Adoption Heightens Urgency
The push comes at a time when crypto payments are becoming more popular in the U.S. About 45 million people in the U.S. own cryptocurrency, and most of them own BTC. In 2024, almost 7 million people paid with BTC or a similar network token. Now, more than 3,500 stores across all 50 states accept BTC, making the U.S. the largest market for these payments.
New broker reporting rules that went into effect on January 1, 2025, have made the situation more urgent. These laws require users to report digital asset sales on Form 1099-DA, increasing the risk of audit discrepancies and adding to users’ administrative costs without broader exemptions.
Previous attempts to deal with crypto taxes have not gone as planned. Senator Cynthia Lummis tried to include crypto tax adjustments in President Donald Trump’s reconciliation bill in July 2025, but was unable to do so.
She has promised to bring the subject up again in future Senate talks. Jack Dorsey pushed for government tax savings on everyday BTC payments through his payment company’s in October 2025.
