A revised House discussion draft of the Digital Asset PARITY Act is back in focus as U.S. lawmakers revisit how crypto activity should be taxed. The proposal from Reps. Steven Horsford and Max Miller is not law, and it is not yet an enacted bill, but the text sketches out one of the more detailed tax frameworks now being floated for digital assets.

What the draft would change

The clearest consumer-facing provision would treat qualifying dollar-pegged payment stablecoins more like cash for routine use. The draft creates a special rule for regulated U.S. dollar stablecoins that stay close to par, aiming to reduce tax friction when people spend digital dollars for ordinary payments instead of trading them.

It would also extend wash sale rules to actively traded digital assets and related derivatives, closing a gap that has let crypto traders harvest losses under looser standards than stocks. For mining and staking, the draft outlines an election that would let taxpayers defer recognition of reward income for a set period instead of being taxed immediately on receipt, an attempt to address the long-running phantom income problem.

Why it matters

The broader package also covers digital asset lending, mark-to-market treatment for professional traders, and charitable donation rules. The conservative read is that Congress still has no settled crypto tax regime, but lawmakers are now circulating much more specific language around stablecoins, staking, and anti-abuse rules than in earlier debates. Whether any of it advances will depend on how much of this draft survives the next round of tax negotiations.