The Blockchain Association has proposed a package of crypto tax reforms after meeting with the House Ways and Means Committee offices on Capitol Hill.
“There is a real bipartisan opportunity to modernize digital asset tax policy in 2026. We look forward to continuing our engagement with lawmakers to develop clear, actionable rules that support compliance and strengthen U.S. competitiveness,” the Blockchain Association wrote in a Tuesday X post.
In its Digital Asset Tax Principles, released the same day, the cryptocurrency advocacy group pressed lawmakers for a “de minimis exemption for small digital asset transactions” and to treat stablecoins like cash for tax purposes, saying their common use should not create disproportionate tax liabilities.
The Blockchain Association also said reporting rules should protect taxpayer privacy while allowing effective enforcement of illicit activities. Furthermore, he added that developers and non-custodial platforms should not be treated as brokers.
The group also claims that taxing staking rewards “at creation” can create liquidity and valuation issues, and has proposed treating them as self-created assets taxable only upon sale or disposition.
Other key proposals included extending wash sale rules to digital assets and introducing a statutory safe harbor for foreign persons trading on US exchanges.
As previously reported by crypto.news, last year, Senator Cynthia Lummis introduced a standalone bill that called for a de minimis exemption on crypto transactions under $300 as well as a $5,000 annual cap on total tax-free activity.
The senator’s bill also targets the issue of double taxation that holders of digital assets face during the staking and mining process, where rewards can be taxed when they are received and again when sold.
However, this proposal faced strong opposition from Democratic Senator Elizabeth Warren, who said at the time that the proposal would allow crypto investors to avoid reporting income from certain transactions and would create what she described as a loophole in the tax code.