The Blockchain Association released its “Principles on Digital Asset Tax Policy” or the crypto tax recommendations, and shared the document directly with members of Congress.
1/ Blockchain Association’s Capitol Hill Tax Fly-In continues as BA members meet directly with two dozen House Ways & Means offices and participate in a policy lunch briefing.
Thank you to our participating members:@a16zcrypto@Anchorage@coinbase@Consensys@cryptocom@DCGco… pic.twitter.com/ftJZPg2Fxh
— Blockchain Association (@BlockchainAssn) February 24, 2026
The 10-principle paper is the industry’s most detailed attempt yet to give lawmakers a workable framework instead of the current patchwork that leaves everyday users, developers, and companies guessing. Here’s what stands out in plain terms.
The biggest practical crypto tax questions
A meaningful de minimis exemption for small transactions. Right now even a $10 transfer can technically trigger reporting.
The Association wants a sensible threshold so low-value, high-volume activity doesn’t bury taxpayers or the IRS in paperwork that generates almost no revenue.
Treat stablecoins as cash. If you use a dollar-pegged stablecoin to pay a supplier or receive salary, it should be taxed like sending or receiving actual dollars.
This single change would remove a huge friction point for real-world business use.
Mining and staking rewards taxed only when sold. Today many people get hit with income tax the moment they receive a reward, even if they never sell.
The proposal aligns it with how self-created property works in the rest of the tax code: you pay when you actually realize the gain.
Wallet transfers, cross-chain moves, and smart-contract interactions stay non-taxable. Moving assets between your own wallets or bridging them shouldn’t count as a sale.
The principle focuses on economic substance: if your exposure doesn’t change, there’s no tax event.
Optional mark-to-market accounting and easier charitable donations. Active traders could elect simpler year-end valuation. Charities could accept liquid tokens without forcing expensive appraisals.
Other points cover privacy-balanced reporting (only custodians report), a safe harbor for foreign traders on U.S. platforms, R&D credits for blockchain development, and making staking rewards eligible for retirement accounts and grantor trusts.
Why this timing matters
Congress is actively debating crypto tax legislation.
The Association timed the release with meetings on Capitol Hill to give Republicans and Democrats a concrete, consensus-backed starting point rather than letting the discussion stay stuck in soundbites.
The rest of the world is moving in different directions
While the U.S. industry pushes for workable rules, other jurisdictions sent mixed signals in the same 48 hours.
Michigan is exploring legislation that would let state employees choose to receive part of their salary in Bitcoin starting in 2027.
In the UK, lawmakers are being urged to introduce a temporary ban on cryptocurrency political donations.
Europe’s ESMA issued a reminder that perpetual futures and leveraged products on cryptoassets are likely to fall under existing national CFD rules.
That means leverage limits, risk warnings, negative balance protection, and strict target-market assessments still apply.
And in the Netherlands, the regulator ordered Polymarket to stop offering unlicensed betting contracts.
What the divergence actually shows
You now have two very different regulatory philosophies playing out at the same time.
The U.S. industry is saying: give us clear, administrable rules that reflect how people and businesses actually use digital assets, and we can compete globally while staying compliant.
Europe and parts of Asia are saying: protect retail participants first, even if it means restricting certain products or activities.
This split is already influencing where companies incorporate, where capital flows for trading, and where builders choose to launch new tools.
The road ahead
If even half of the Blockchain Association’s principles make it into legislation, the day-to-day experience of using crypto in the U.S. becomes dramatically simpler.
Stablecoin payments would feel like normal bank transfers for crypto tax policy purposes.
Developers could move assets between chains without triggering phantom gains.
Companies could offer Bitcoin or stablecoin salaries without creating accounting nightmares.
That kind of clarity has historically been one of the strongest catalysts for broader institutional and retail participation.
None of this is guaranteed, of course. Congress still has to act, and other countries may double down on restrictions.
But for the first time in a while, the U.S. has a serious, detailed industry proposal on the table instead of vague calls for “regulation.”
The next few months will show whether lawmakers treat crypto tax policy as a technical cleanup job or as another culture-war battlefield.
The document the Blockchain Association just delivered gives them a clear path to the former.
Crypto market researcher and external contributor at Kriptoworld
Wheel. Steam engine. Bitcoin.
📅 Published: February 26, 2026 • 🕓 Last updated: February 26, 2026
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