House Committees Advance Crypto Tax Certainty Act and Strategic Bitcoin Reserve Legislation

Two House committees have advanced significant cryptocurrency legislation, moving forward on federal Bitcoin reserves and crypto tax reform. The House Ways and Means Committee voted 38-5 to pass the Digital Asset Tax Certainty Act, establishing a comprehensive framework for taxing cryptocurrency transactions. This bill addresses long-standing questions about how existing tax law applies to blockchain activity.

The act treats mining and staking rewards as ordinary income, with lawmakers debating when that income should be recognized for tax purposes. It also brings digital assets under wash-sale rules, preventing investors from selling an asset at a loss to claim a tax benefit and immediately buying back substantially the same investment. An exception is created for certain crypto network or transaction fees of $10 or less, reducing the tax burden on small blockchain transactions.

The House Financial Services Committee advanced legislation to establish a Strategic Bitcoin Reserve, placing federal government holdings into statutory custody rather than leaving them scattered across agencies. This proposal would house federally held Bitcoin obtained primarily through criminal and civil forfeiture within the Treasury Department. The reserve concept currently rests on executive action, with President Donald Trump signing an executive order in March 2025 establishing a Strategic Bitcoin Reserve.