Senate Approves Trump-Backed Budget Without Crypto Tax Relief
U.S. Senate passes Trump’s budget bill, omitting proposed tax relief for crypto miners and stakers despite growing bipartisan interest.
In a tense and deeply divided session, the U.S. Senate has passed President Donald Trump’s controversial budget bill, omitting key provisions related to cryptocurrency taxation. Despite strong lobbying by Republican Senator Cynthia Lummis of Wyoming to address what she termed the "unfair tax treatment" of crypto miners and stakers, the final legislation left out any mention of digital assets.
Passed with a 50-50 tie broken by Vice President JD Vance, the "One Big Beautiful Bill Act" now moves back to the House of Representatives, where further amendments are possible. The bill has drawn widespread criticism from both parties for its impact on healthcare funding and its perceived favoritism toward tech giants like Meta.
Lummis had proposed an amendment aimed at preventing double taxation for those participating in proof-of-work and proof-of-stake blockchain networks. Her initiative was seen as a meaningful step toward modernizing U.S. tax code in light of the growing digital asset economy. Nevertheless, the proposal never made it to the Senate floor.
“I would have liked to have seen that provision in the final product,” commented Alaska Representative Nicholas Begich, noting the likelihood of future attempts to include crypto-related reforms in other critical legislation.
Following the vote, Lummis acknowledged the shortcomings of the bill but described it as "a major step in the right direction." The budget package, however, continues to fuel partisan disputes. Senator Elizabeth Warren criticized the bill on social media, accusing the GOP of prioritizing corporate interests over public welfare: "Donald Trump and Republicans in Congress are planning to write a $15 billion check to Meta simply for existing—paid for by cutting health care for millions of Americans."
In a parallel development, Oregon Senator Jeff Merkley introduced an amendment seeking to ban top government officials from holding or promoting digital assets. The amendment, modeled after his earlier proposal under the GENIUS Act, failed to pass.
Although Congress has advanced efforts to regulate stablecoins and establish a national Bitcoin reserve, these initiatives have taken a backseat to budget deliberations. The Digital Asset Market Clarity Act, which has cleared committee in the House, is also awaiting action in the Senate, where Republican leaders aim to craft their own version by October.
As the budget process advances, the fate of crypto-specific legislation remains uncertain. Lawmakers on both sides of the aisle recognize the importance of updating the nation’s regulatory framework for digital assets, but political gridlock continues to delay progress.
