The Biden administration's 2025 budget targets cryptocurrency tax loopholes and expands digital asset regulation

ChainCatcher news, the Biden administration released the 2025 budget proposal on March 11, which includes provisions for a series of regulatory measures for digital assets.

It is expected that the proposed rules for digital assets by 2025 will generate nearly $10 billion in additional tax revenue. Among these, it is anticipated that applying anti-money laundering rules to digital assets alone could raise over $1 billion in taxes in the 2025 fiscal year; incorporating digital assets into fair market valuation rules (which require taxation based on the current market value of securities rather than the purchase price) is expected to generate an additional $8 billion in revenue that same year. Additionally, the proposal also imposes a consumption tax on cryptocurrency mining operations.