Republicans Unveil ADAPT Act Crypto Tax Bill with Exemptions and Simplifications

Senate Republicans have introduced the ADAPT Act, a new bill aimed at regulating cryptocurrency taxes. The legislation includes several key provisions, including exemptions for stablecoin payments trading within 3% of $1 and waiving taxes on network fees below $10 per transaction.

The ADAPT Act also extends wash sale rules to crypto, closing loopholes that allowed investors to harvest losses. It clarifies taxation locations for mining and staking rewards, and shields foreign investors trading via US brokers from being treated as US businesses.

Additionally, the bill eliminates formal appraisals for crypto donations to charity. All provisions are set to take effect in 2027.