Illinois Aims to Tax All Crypto Transactions Starting 2027

The state of Illinois has released draft rules that would impose taxes on cryptocurrency transactions starting in 2027, regardless of profit or loss. This move is being met with opposition from the crypto industry groups, including The Digital Chamber and Blockchain Association, who are suing over the proposal.

The proposed rule targets every transaction, not just profitable ones, which has led to criticism that it's too broad and draconian. Commentary surrounding the issue suggests that Senator Elizabeth Warren may be behind the governor's stance on this matter, although this claim is unverified.

Crypto industry groups argue that taxing every transaction would hinder innovation in the space and have a negative impact on the overall ecosystem.