The United States is gearing up to introduce a game-changing tax relief policy that could significantly impact the cryptocurrency industry. Eric Trump, the son of US President Donald Trump, hinted at the possibility of a zero capital gains tax policy for cryptocurrency projects under the new administration. This move is aimed at prioritizing crypto innovation and investment in the country.
US-based crypto projects, including popular ones like XRP and HBAR, are expected to benefit from the proposed zero capital gains tax policy. This announcement has sparked excitement within the crypto community, with many enthusiasts seeing it as a positive step towards making US-based projects more attractive for investors.
However, the tax relief may not extend to non-US-based crypto projects, as they could still be subject to a capital gains tax of 30%. This stark contrast in taxation rates is likely intended to incentivize companies to establish operations within the US and level the playing field in favor of domestic projects.
The “Made in USA” category of cryptocurrencies, which includes coins with strong connections to the US, currently boasts a market cap of $550 billion and a 24-hour trading volume of $37,474,510,450. Top cryptocurrencies in this category include XRP, Solana, USDC, Cardano, Chainlink, Avalanche, Stellar, Hedera, Sui, and Polkadot.
Over the past 30 days, most of the top ten cryptocurrencies in the Made in USA category have shown bullish trends, with significant price increases for XRP, Solana, Cardano, Chainlink, Stellar, and Hedera. This indicates a positive market sentiment towards US-based projects.
If the Trump administration’s crypto tax policy is implemented as planned, it could reshape the industry landscape and position the US as a leading hub for blockchain innovation. The contrasting tax rates for US-based and non-US-based projects underscore the government’s commitment to fostering domestic growth and innovation in the crypto sector.
In conclusion, the proposed zero capital gains tax policy for US-based crypto projects has the potential to drive significant investment and growth in the industry. This bold move could attract global crypto innovation to the US and solidify its position as a key player in the blockchain space.