The White House Crypto Summit reportedly opposes tax exemption

The WhitehauScript Summit is reportedly not to propose capital gains tax exemptions on cryptocurrencies, as stated by Kobaisi’s letter.

Destruction: Capital Gain Tax Exemptions will be announced at the White House Script Summit.

– The Kobeissi Letter (@kobeissiletter) March 7, 2025

In a preview of the virtual summit, White House officials said taxation would not be a matter of discussion, contrary to what people proposed. The summit will help industry leaders provide regulatory feedback in response to their intentions to end Operation Chokepoint 2.0, an initiative designed to target banks for financial restraints for cryptocurrency companies.

“The president has committed to establishing a crypto council during the campaign. He wanted to incorporate advice and feedback from the industry, which is what the summit is about,” the official said. Officials also said that Bitcoin will receive “special treatment” in the federal accounting system.

Currently, profits from US cryptocurrencies are taxed, just like stock earnings. Short-term profits are taxed at 37% on assets held for less than a year, while long-term profits are taxed from 0% to 20% based on income level.

This taxation system is particularly attractive to active crypto traders, especially radio frequency traders. Without exceptions, investors may need to rethink their strategies as no tax cuts can affect overall profitability.

Internationally, Japan’s Liberal Democrats proposed a plan to lower the high tax on cryptocurrency profits. The current rate of 55% could be reduced to 20% under the new proposal. Japanese officials are trying to identify viable rules for adapting to economic stocks, such as increased government debt and inflation.

Trump’s Strategic Bitcoin Reserve

This tax policy update continues with President Donald Trump Announcement of US strategic Bitcoin reserve. The executive order creates a strategic Bitcoin reserve funded by Bitcoin received through criminal and civil assets forfeiture. White House crypto advisor David Sachs confirmed this in his tweet X (formerly Twitter).

This order allows for future acquisitions of Bitcoin, but the order does not set a roadmap for immediate acquisitions. Secretaries of the Ministry of Finance and Commerce are further permitted to seek other ways to raise more Bitcoin without paying for taxpayers.

The administration distinguishes between Bitcoin Reserve and a wider digital asset stockpile, including other federal cryptocurrencies. The purpose of stockpiling is to ensure responsible management of digital assets.

The administration also distinguishes between Bitcoin held in reserves and other digital assets stored in federal inventory. In this way, stockpiles help you manage your digital assets efficiently and in a proper way.

Executive Orders are the subject of controversy. Some market participants wanted a bolder approach to buying additional Bitcoin. However, the administration’s approach is relatively conservative, but it embraces cryptocurrency.