Why Trump’s Potential Plan to Make Crypto Gains Tax-Free Could Be a Bad Idea
In January, following Donald Trump’s inauguration, reports emerged claiming that his son, Eric Trump, had confirmed that U.S.-based cryptocurrencies would eventually be exempt from capital gains tax, while non-U.S. based cryptocurrencies would face a 30% tax.
The elimination of capital gains taxes on U.S.-based cryptocurrencies might sound like a dream come true for American investors, but it won’t come without a price. Whether it turns into a net negative for the global crypto industry — well, we’ll just have to wait and see.
But there are some glaring red flags.
1. Markets may wobble after confirmation.
If this new rule actually gets approved and takes effect, be prepared for market turbulence as U.S. investors could dump non-U.S….
