Senator Lummis Pushes for Crypto Tax Fix in Sweeping Legislation
U.S. Senator Cynthia Lummis is preparing to introduce an amendment to the upcoming “One Big Beautiful Bill” aimed at easing tax burdens for crypto users, particularly those involved in mining and staking.
In a post on social platform X, Lummis said she is working to “stop unfair tax treatment” of digital asset holders by eliminating double taxation on block rewards. Under current law, crypto earned through staking or mining is taxed first upon receipt and again when sold — a system Lummis says stifles innovation.
The move echoes earlier bipartisan calls to exempt small crypto transactions from capital gains tax, a proposal that would eliminate the need for tedious calculations on everyday purchases. Supporters argue that the current rules are impractical and deter adoption.
Advocacy groups, including the Bitcoin Policy Institute, Satoshi Action Fund, and the Solana Policy Institute, have launched coordinated lobbying efforts urging Congress to adopt these changes. They are asking lawmakers to treat block rewards like other forms of self-generated property, which are taxed only upon sale.
Industry leaders like Cody Carbone of the Digital Chamber have also thrown support behind the proposal, calling it a common-sense fix that aligns crypto taxation with how physical goods are handled.
With time running short before the bill reaches the Senate floor, crypto advocates hope to secure a key victory that could pave the way for broader adoption by reducing compliance friction and keeping innovation within U.S. borders.
Senate negotiators have not yet released the amendment’s language, and it remains unclear whether the tax changes will be packaged together or split into separate proposals.
Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
