The post Tax-Free Crypto in U.S : Donald Trump’s Plan to Eliminate Tax for XRP, ADA, and More appeared first on Coinpedia Fintech News
Donald Trump is reportedly considering a groundbreaking plan to eliminate capital gains taxes on U.S.-issued cryptocurrencies, potentially making all profits on assets like Cardano ($ADA), Algorand ($ALGO), Ripple ($XRP), and Hedera ($HBAR) tax-free for American investors. According to sources close to his transition team, the proposal would require crypto-issuing companies to be U.S.-registered, but existing crypto businesses could relocate to the U.S. to benefit from the new tax exemption.
Trump’s game-changing move could position the U.S. to compete with the likes of Dubai and other crypto-friendly countries in becoming a top blockchain hub.
Donald Trump aims to cut capital gains taxes on U.S.-issued crypto, making assets like ADA and XRP tax-free and potentially reshaping the market.https://t.co/wpTocDQQvv
— Telo News (@Telo_Official) November 14, 2024
Making Crypto a Practical, Everyday Currency
Moreover, this move aligns with Trump’s vision of making the U.S. the “crypto capital of the world,” a campaign promise aimed at boosting the country’s appeal in the global digital asset space. If the 37% capital gains tax is scrapped, it could transform the industry, drawing more investors to crypto as they can keep profits tax-free. Trump’s election has already catalyzed a surge in crypto interest, and this proposal could further drive companies to the U.S., setting the stage for other countries to step up their crypto policies.
Notably, Trump has raised a crucial point, suggesting that it’s unfair to pay capital gains taxes on crypto used for everyday purchases, like buying coffee or groceries. “Why should Americans be penalized for using a digital currency in daily life?” he argued.
Other’s To Follow..
The UK, in particular, is readying its crypto regulatory framework to stay competitive, planning announcements on crypto regulation to counter Trump’s crypto-friendly agenda. This developing competition for crypto dominance is likely to escalate as both the U.S. and UK aim to attract and retain crypto businesses, shaping the future of the industry on a global scale.
A Tax-free Crypto era?
This idea of tax-free crypto transactions has generated buzz among investors and entrepreneurs. If the U.S. is successful in eliminating capital gains taxes on crypto transactions, it could position itself as a global crypto hub. This could attract significant capital from international investors and encourage U.S.-based companies to invest in blockchain and crypto technology.
For an average crypto holder, this could be the start of a new era where crypto can be used as both a payment method and a store of value without further tax concerns.
