US Leads Bitcoin Reserve Trend, Promises Tax-Free Capital Returns

A new policy move in the United States is attracting global attention: allowing citizens to trade bitcoin without capital gains tax. This is not just a financial measure but also reflects efforts to address long-standing digital asset management challenges faced by federal agencies.

Congressman Davidson, a key figure behind this draft, clarified that the core issue is not a lack of bitcoin but how different government agencies store and manage them. He stated that currently, federal agencies hold digital assets but lack a centralized custody system, leading to extremely limited situations: losing a private key means losing full access to the cryptocurrency.

New Legal Framework for Bitcoin Trading: The “Digital Fort Knox” Solution

Davidson describes this plan as a modern custody system, with the Department of the Treasury acting as the main custodian. This structure is similar to Fort Knox—the famous US gold vault—but dedicated to digital assets. The approach aims to prevent different agencies from losing control over their bitcoin holdings.

Financially, the draft legislation proposes expanding funding for a strategic bitcoin reserve fund without increasing the budget deficit. This innovative approach allows taxpayers to contribute by trading bitcoin, which then functions as an official currency in that context.

Tax Benefits of Bitcoin Trading: A Strategic Move

A key highlight of the proposal is the removal of capital gains tax when bitcoin is used for trading. This means if you trade with bitcoin, you won’t have to pay additional capital gains tax on that payment—a significant tax incentive. The government also plans to formalize existing executive orders related to handling seized digital assets, creating a clear and sustainable legal framework.

This is seen as a “reasonable” way to regulate custody, combining technical management with financial incentives.

Brazil Closely Following with RESbit: Ambition to Accumulate 1 Million BTC

Not to be outdone by the US, Brazil has also proposed an independent bitcoin reserve fund. The draft legislation called RESbit advocates for planned, gradual bitcoin purchases over five years, aiming to accumulate at least 1,000,000 BTC.

This project replaces and expands previous drafts focused on building a national strategic bitcoin reserve. Although it still needs approval before implementation, if successful, this plan would place Brazil among the countries with the largest bitcoin reserves globally and set a precedent for other nations to build digital treasuries.

Both legislative drafts reflect a government trend toward exploring new ways to trade, manage digital assets, and recognize bitcoin’s long-term value within national reserves.