U.S. lawmakers proposed the “U.S. Bitcoin Act of 2025”: giving legal status to strategic BTC reserves and allowing people to pay taxes with Bitcoin
U.S. Republican Congressman Warren Davidson proposed the "U.S. Bitcoin Act of 2025" this week, proposing to formally include the "Strategic Bitcoin Reserve" established by the current executive order into law; and for the first time, allowing U.S. taxpayers to directly pay federal taxes in Bitcoin, and completely exempt from capital gains tax during this transaction.
(Previous summary: Trump reiterated: Let the United States become a "Bitcoin superpower"! Review of the encryption performance of Trump's first year in office)
(Background supplement: Cynthia Lummis: Bitcoin is the only way to save the U.S. national debt! Support Trump's "BTC strategic reserve")
The well-known American think tank "Bitcoin Policy Institute (BPI)" (Bitcoin Policy Institute, BPI) on November 20 An announcement was issued on the same day, officially expressing support for the "Bitcoin for America Act of 2025" proposed this week by Ohio Republican Representative Warren Davidson.
BPI introduced that the two most groundbreaking contents of this bill include: 1) officially incorporating the "Strategic Bitcoin Reserve" established by the current executive order into law; 2) allowing U.S. taxpayers to directly pay federal taxes in Bitcoin for the first time, and completely exempting capital gains tax during this transaction, setting a historical precedent in the United States.
Paying taxes means the country hoards money
According to BPI, the bill sponsor, Congressman Davidson, emphasized that this legislation is a key step in the modernization of American finance. He said: "The U.S. Bitcoin Act will allow innovative technologies used daily by millions of Americans to officially enter the national fiscal system. After taxpayers pay taxes in Bitcoin, these Bitcoins will be directly included in the strategic reserve. Therefore, the country will hold hard currency that will increase in value over time, rather than dollars that continue to be eroded by inflation. This will not only give the people more tax payment options, but will also create a more stable financial foundation for the government, allowing the United States to stay ahead in the global currency and digital innovation competition, rather than lagging behind."
At the same time, BPI Strategy Director Conner Brown further pointed out that this bill demonstrates "bottom-up" strategic thinking: "The U.S. Bitcoin Act proves that strategic Bitcoin reserves do not need to be mandated by the government. By voluntarily paying taxes in Bitcoin, every American can participate, which will create the world's first truly democratic, market-driven national Bitcoin accumulation mechanism."
BPI releases Bitcoin tax financial impact model
In addition, in order to strengthen the persuasiveness of the policy, BPI It also simultaneously announced a set of self-developed "Bitcoin Tax Financial Impact Model", completed together with BitcoinQuant analyst Rohan Hirani. The model uses data to simulate how much financial benefits it will bring to the strategic Bitcoin reserve in the long term if Americans gradually adopt the method of paying taxes in Bitcoin. The model has been made public for review by members of Congress, research institutions and the general public.
If this bill is successfully passed, it will make the United States the first country in the world to officially accept Bitcoin as a federal tax and exempt from capital gains tax. It is also regarded as a key step for the Trump administration's "strategic Bitcoin reserve" policy to move from an executive order to congressional legislation.