US Lawmakers Propose Tax Plan Favoring Stablecoins, Excluding Bitcoin Break
A new congressional bill would exclude dollar-pegged stablecoins from taxable gains or losses so long as the tokens keep a tight peg to the underlying fiat, effectively treating them more like cash for tax purposes. Lawmakers carved out an explicit exception for Bitcoin and other non-pegged cryptocurrencies, leaving capital gains reporting and tax liabilities for BTC unchanged.
The proposal could simplify tax treatment for payments and transfers using stablecoins and encourage their use in commerce and DeFi, but it raises enforcement questions about how regulators will verify a token’s peg over time. Bitcoin holders and traders will likely view the carve-out negatively, since BTC remains fully taxable on gains; the split treatment could influence market behavior and political negotiations as the bill moves through Congress.