In a surprising turn of events, Eric Trump has reportedly confirmed that US-based cryptocurrency projects will benefit from a zero percent capital gains tax, a move that could significantly impact the industry’s tax landscape.
This implies that when investors in these businesses pay out their cryptocurrency for a profit, they could spend a lot less. The move comes amid a slew of pro-crypto decisions that have been taken in the US after Donald Trump victory in the 2024 elections.
Eric Trump Confirms Tax Exemption
According to reports, Eric claimed that the 0% capital gains tax policy will help US-based cryptocurrency initiatives like XRP and HBAR.
The entire Bitcoin market is buzzing with Eric’s confirmation. The move, according to many cryptocurrency aficionados, would increase the appeal of US-based crypto ventures.
Also Read: President Trump Appoints Former FTX Prosecutor Danielle Sassoon As Interim Manhattan U.S. Attorney
Outside Crypto Projects Still at Loss
Despite the glory of the tax exemption move, cryptocurrency projects that are situated outside of the United States will not be as fortunate and will instead have to pay a hefty 30% capital gains tax.
This action might contribute to more crypto innovation in the United States and provide domestic projects a significant competitive edge.
However, for global cryptocurrency endeavors, this glaring disparity in tax treatment may have significant ramifications. For starters, the 30% capital gains tax on overseas projects will raise these companies’ operating expenses dramatically, making it harder for them to compete with their American competitors.
Additionally, this increased tax rate would discourage prospective investors from funding cryptocurrency companies situated outside of the United States.
Due to much decreased tax obligations, investors who might have previously been interested in foreign ventures might now focus on opportunities headquartered in the United States. As a result, the global cryptocurrency market may move in the United States’ favor as developers, businesses, and investors look for
New Tax Exemption Comes Amid Other Pro-Crypto Regulations
Donald Trump second term as The President of The USA has started to look like a rather beneficial move for the crypto world.
Just previously, he and his recently appointed czar for artificial intelligence and cryptocurrency, David Sacks, signed an executive order.
The order describes a federal regulatory framework for digital currencies, encourages innovation in the digital asset sector, and suggests the establishment of a national cryptocurrency stockpile.
President Trump has time and again reaffirmed his campaign pledges on digital assets and blockchain technology with his executive orders “Strengthening American Leadership in Digital Financial Technology,” one of many he has released in his first few days in office.
According to Trump’s directive, which was issued on January 23, 2025, digital assets are “crucial to innovation and economic development in the United States” and the nation’s “international leadership.”