Bitcoin News
By Julie Binoche
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What the Bill Would Actually Change. Right now, if you mine a Bitcoin or earn staking rewards on a proof-of-stake network, the IRS…
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Why Congress Hasn't Moved Faster. The bill is still waiting on further consideration in Congress. No vote scheduled, no decision made.
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A coalition of cryptocurrency lobbying groups wants Congress to pass a bill that would tax staking and mining rewards only when they're sold — and they want it passed clean, no…
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The push is pretty direct. Under current rules, miners and stakers face tax obligations the moment they receive rewards, regardless of whether they've sold anything.
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The groups behind the push seem genuinely worried that any changes to the bill's current language could dilute the core mechanism.
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Right now, if you mine a Bitcoin or earn staking rewards on a proof-of-stake network, the IRS treats that as ordinary income at the moment of receipt.
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The bill would shift that. Rewards wouldn't trigger a taxable event until you sell them. At that point, any gain from the original receipt price to the sale price gets taxed as a…
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The coalition's argument is that this isn't special treatment — it's basic fairness. Farmers don't pay income tax on crops before they sell them.
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See also: Ethereum Validators Could Redirect 10% of Staking Rewards Under New Proposal
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That's frustrating for the industry, and the lobbying groups aren't hiding it. They've been pretty explicit that the current legislative session matters — that dragging this into…
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The administrative angle is worth mentioning too. Simplifying when and how these rewards get taxed doesn't just help taxpayers — it probably makes the IRS's job easier.
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Whether that framing moves votes is another question entirely.
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More context: Ethereum Proposes Redirecting Validator Rewards to Fund Network Development
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The U.S. competitive position keeps coming up in these conversations. The lobbying groups argue that other jurisdictions have moved faster on crypto tax clarity, and that…
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The bill sits in Congress. Its proponents are pushing hard, keeping the pressure on, and insisting that the current text is the right text.
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