Sponsors
11 Republican
Warren DavidsonOH-8
This legislation authorizes the payment of federal taxes using Bitcoin and establishes a Strategic Bitcoin Reserve to hold these funds. It provides taxpayers with a critical tax incentive by ensuring no gain or loss is recognized on Bitcoin transferred to satisfy federal tax liabilities. The bill also directs the Treasury to implement secure custody methods, including cold storage, and restricts the sale or disposition of the national Bitcoin holdings for at least twenty years.
The proposed legislation represents an exceptionally strong pro-crypto policy. By allowing federal taxes to be paid in Bitcoin, it elevates the digital asset to an officially accepted medium of exchange for government obligations. Crucially, the bill addresses a major barrier to cryptocurrency transactions by granting nonrecognition of capital gains or losses when Bitcoin is used to pay tax liabilities. This eliminates double-taxation friction and incentivizes citizens to hold and use Bitcoin. Additionally, the mandate to establish a Strategic Bitcoin Reserve and lock up the received assets for a minimum of twenty years aligns with strategic sovereign reserve proposals, treating Bitcoin as a scarce, non-inflationary hedge against fiat devaluation. These provisions would significantly boost institutional legitimacy, foster mainstream adoption, and position the United States as a leading participant in the global digital asset economy.
Every member who has sponsored, cosponsored or voted on this bill. Pick a vote to see how each member voted on it, or narrow by party, name or state.
1 Republican