The House Ways and Means Committee recently approved the first digital-asset tax legislation, creating a tax structure intended to support President Donald Trump’s goal of making the United States the “crypto capital of the world.”

The bill, which still needs to be voted on by the full House of Representatives, creates a unique tax policy for digital assets, Chairman Rep. Jason Smith, R-Mo., said on the Just the News, No Noise television program.

“You know, the president has said he wants the United States to be the crypto capital of the world, and in order to be the crypto capital of the world, you need to have certainty within your tax code, and that's why when we passed the big, beautiful bill last July 4,” Smith said. “I made it a mission to create a tax package for digital assets, creating that certainty, that tax structure that's in the code, and then it can allow the investment to continue to grow in our country.”

Smith said his committee was able to do that last week in a 38-5 bipartisan vote that will move the bill out of committee and on for the full House vote.

"The product of bipartisan discussions and collaboration," Smith says 

The bill, called the Digital Asset Tax Certainty Act, aims at modernizing the tax code by “establishing clear rules of the road, streamlining reporting requirements, clarifying the tax treatment of mining and staking, and creating parity with traditional financial assets,” according to the Ways and Means Committee’s description of the bill.

“The Digital Asset Tax Certainty Act is the product of bipartisan discussions and collaboration among members of the Ways and Means Committee to address the uncertainty and burdensome compliance challenges that threaten to undermine the rapidly growing and increasingly popular $2 trillion digital asset economy,” Smith said after the bill passed out of the Committee. 

“By providing American consumers and investors with more certainty surrounding the tax treatment of digital assets, establishing parity with traditional financial assets, and updating tax rules to keep pace with this innovative technology, we will ensure the United States is the crypto capital of the world. This legislation would be the first-ever federal law to address the substantive tax treatment of cryptocurrencies and other digital assets – affecting the one in four Americans that currently hold some form of cryptocurrency, more than 67 million people,” Smith added.

Ending former President Joe Biden’s “regulatory war on crypto and Bitcoin,” Trump said

The bill removes the requirement that taxpayers must file a separate report for each digital asset transaction, which in 2025 resulted in hundreds of millions of 1099-DA forms to the IRS. It also treats digital assets as comparable traditional financial assets, allowing them to be eligible for existing tax code safe harbors and treated as charitable donations like other financial assets.

Shortly after returning to office in 2025, Trump announced that he wanted to make the U.S. the “undisputed Bitcoin superpower and crypto capital of the world,” adding that he would end former President Joe Biden’s “regulatory war on crypto and Bitcoin.”

Trump made the announcement at the Blockworks Digital Assets Summit in March 2025, Fox Business News reported at the time.

"With the right legal framework, institutions large and small will be liberated to invest, innovate, and take part in one of the most exciting technological revolutions in modern history. It's so big. It's, I think, as big as you can get," Trump said.