Fidelity Urges Congress to Fix Bitcoin and Crypto Tax Rules as Lawmakers Push New Regulations

Fidelity is urging Congress to create clearer tax rules for cryptocurrency, arguing the current lack of guidance is harming investors and pushing innovation overseas. The company emphasized that existing tax laws, written before crypto's existence, don't adequately address new developments like staking and stablecoins. This call to action occurs as Congress considers new crypto regulations, including bills addressing stablecoins, digital asset classification, and a central bank digital currency. Meanwhile, the IRS is implementing stricter crypto reporting rules, requiring taxpayers to report all crypto transactions from 2024 on their 2025 tax returns and mandating exchanges to send transaction information to the IRS. Certain states are also exploring friendlier crypto tax policies, even as Congress continues to debate broader crypto market regulation.