US Senator Cynthia Lummis is introducing a new bill to remove taxes on crypto transactions under $300. The digital asset tax legislation would end the double taxation of digital asset miners and stakers and allow smaller crypto transactions to be executed tax-free. The legislation is estimated by the Congressional Joint Committee on Taxation to generate approximately $600 million in net revenue between 2025-2034.

“In order to maintain our competitive edge, we must change our tax code to embrace our digital economy, not burden digital asset users,” said Lummis. “This groundbreaking legislation is fully paid-for, cuts through the bureaucratic red tape, and establishes common-sense rules that reflect how digital technologies function in the real world. We cannot allow our archaic tax policies to stifle American innovation, and my legislation ensures Americans can participate in the digital economy without inadvertent tax violations.”

Senator Lummis also added, “I welcome public comments on this legislation as we seek to get this package to the President’s desk.”

More About the Crypto Tax Bill

Earlier this year, Senator Lummis was named the chair of the Senate Banking Subcommittee on Digital Assets. She has pushed forward several crypto-based legislations to make the sector less strictly regulated. Most notably, she is one of the biggest supporters of establishing a US Bitcoin reserve through the treasury.

Her latest standalone bill includes the following:

The proposed legislation suggests several reforms to address digital asset tax issues, including:

– Exemption for small transactions: Establishing a $300 minimum threshold rule.

– Elimination of double taxation for miners and stakers.

– Tax parity between digital assets and traditional financial assets, covering aspects such as lending, wash sales, and mark-to-market taxation.

– Exemption from valuation reports for charitable donations.

The Wyoming Senator is pushing to get the crypto tax bill approved by the Senate and pushed to the House, and eventually to Trump in the near future. Previously, crypto legislations such as this would crash and burn upon voting. However, the new administration has been far more crypto-friendly in 2025. Therefore, there is a high chance that the bill could see support and approval from the Senate and House if it gets enough support.