Trump Set for Crypto Tax Windfall Amid Bipartisan Regulation Push

A proposed bill in Congress aimed at regulating cryptocurrencies and clarifying financial regulators' jurisdiction over the sector has an unexpected consequence for President Donald Trump.

The bipartisan ethics proposal, dubbed the Clarity Act, would require Trump to divest from crypto-related businesses. However, Bloomberg reported that this provision could also trigger a significant tax benefit for the president.

According to people familiar with the matter, the ethics addendum includes a provision allowing Trump to defer capital gains levies on his crypto holdings. This means he would not have to pay taxes immediately on potential profits from his digital assets.

Last year, Trump reported more than $1.4 billion in income from his family's crypto ventures, demonstrating how he now derives most of his income from these investments.