WASHINGTON – The bipartisan ethics proposal senators have pitched to US President Donald Trump to get landmark crypto legislation over the line in Congress could trigger a significant tax benefit for the president: the ability to defer capital gains levies on his crypto holdings.

The ethics addendum to the crypto Bill, which has yet to be released publicly and is still being negotiated between the White House and lawmakers, includes a provision requiring the president to divest from crypto-related businesses, according to people familiar with the matter, who asked for anonymity to discuss non-public matters.

Forced divestiture is expected to allow the president to defer paying any federal taxes on those gains potentially for years – if…