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Davidson Introduces Bitcoin Tax Payments Bill as Policy Institute Backs Plan With New Model

The proposal routes bitcoin tax payments to a Strategic Bitcoin Reserve, exempting transfers from capital-gains recognition.

Overview

  • Rep. Warren Davidson introduced the Bitcoin for America Act to let individuals and businesses settle federal tax liabilities in bitcoin credited at fair market value.
  • The bill directs all bitcoin tax receipts into a codified Strategic Bitcoin Reserve and tasks Treasury with custody standards including cold storage, multi‑signature controls, and geographic distribution.
  • Reserve holdings would be locked for at least 20 years with limited dispositions thereafter, positioning the asset as a long‑term store of value on the national balance sheet.
  • The Bitcoin Policy Institute formally endorsed the bill and released an interactive forecasting model with BitcoinQuant to illustrate potential reserve growth under varying adoption scenarios.
  • Decrypt reported the model’s example projection that 1% of U.S. taxes paid in bitcoin from 2025 through 2030 could add more than 2.6 million BTC, while the measure remains at the introduction stage and still requires Congressional action.