U.S. Senate Tax Bill Proposes Stablecoin Spending Exemption

Senator Steve Daines introduced the Aligning Digital Assets with Principles of Taxation Act (ADAPT Act) on September 30, which would exempt the use of qualified U.S. dollar stablecoins for purchases from capital gains tax. Under the proposed bill, spending Bitcoin would remain a taxable event requiring cost-basis reporting. The bill, cosponsored by Senators Cynthia Lummis, Bernie Moreno, and Tim Scott, defines qualified stablecoins as those issued by permitted entities under the GENIUS Act that maintain a value within 3% of $1.00.