Senator Steve Daines has introduced a 13-section draft bill aimed at reforming the tax treatment of digital assets in the United States. The proposal seeks to modernize the Internal Revenue Code, which currently classifies cryptocurrencies as property, requiring tax reporting for every transaction, including small purchases and fee payments.
The legislation introduces an exemption for stablecoin payments valued at or near $1, allowing users to avoid reporting fractional gains or losses. This provision is scheduled to take effect for transactions occurring after December 31, 2026. Additionally, the bill proposes a de minimis exemption for network fees of $10 or less per transaction.
While providing relief for everyday users, the draft also targets common trading practices by extending wash-sale rules to most digital assets. This change would prevent traders from selling assets at a loss to claim tax benefits while immediately repurchasing them. Qualified stablecoins are excluded from these specific restrictions.
The Senate draft aligns with the Digital Asset Tax Certainty Act, H.R. 10357, which was advanced by the House Ways and Means Committee on September 16, 2026, with a 38-5 vote. The Senate proposal circulated during the week of September 23-25, 2026, as part of a broader effort to reduce tax complexity for crypto holders.
