The Trump administration has published its most comprehensive regulatory guide on digital assets to date.
The working group on digital assets established by U.S. President Donald Trump has published a detailed and comprehensive report on the cryptocurrency sector. The 168-page report released on July 30 includes extensive regulatory proposals ranging from taxation on the trading of crypto assets to custody services and the creation of strategic reserves.
Members of the working group established by President Trump's executive order in January include figures such as Treasury Secretary Scott Bessent, Commerce Secretary Howard Lutnick, and SEC Chairman Paul Atkins. It was emphasized that the report serves as a 'regulatory guide' that will guide the sector.
The Right to Hold Your Own Crypto and the Role of CFTC
The report suggests that Congress clarify individuals' right to hold their crypto assets directly without intermediaries. It also states that the Commodity Futures Trading Commission (CFTC) should be granted authority to regulate the spot markets for non-security digital assets.
The working group emphasizes that crypto and blockchain technologies could transform the U.S. financial system and economic management, arguing that clear policies need to be established to open up opportunities for American entrepreneurs.
Latest Status of the Strategic Bitcoin Reserve
The Trump administration had previously planned to create a strategic reserve that includes digital assets such as Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA). The new report states that this reserve will be financed solely by seized digital assets and will be managed by the U.S. Department of the Treasury. The report indicates that the BTCs in the Bitcoin reserve will not generally be sold and will be used to support U.S. financial goals.
Tax Reporting and New Regulations
The report will mandate U.S. taxpayers to report their crypto accounts held abroad. This aims to prevent capital outflows and strengthen domestic markets. The newly proposed reporting system called the Crypto Asset Reporting Framework (CARF) does not cover DeFi (decentralized finance) platforms.
Additionally, it is proposed that a tax policy considering the unique nature of crypto assets be developed. It was noted that the IRS should publish detailed guidelines regarding taxable gains and losses of digital assets held for investment purposes.
Safe Zones for DeFi Will Be Provided
The report also calls on policymakers in the U.S. to support decentralized finance (DeFi) projects. It was stated that decentralized software that can comply with existing regulations should be identified, and the Securities and Exchange Commission (SEC) should evaluate creating safe harbors for crypto assets and establishing 'purpose-based registration exemptions.'
White House officials announced after the report that more detailed information regarding the strategic Bitcoin reserve would be shared with the public soon.