A bill to amend the Internal Revenue Code of 1986 to reform the treatment of digital assets.

S 2207 defines digital assets for tax purposes and creates a de minimis rule allowing taxpayers to exclude small gains or losses from digital asset transactions (under $300 per transaction, with a $5,000 annual limit). The bill amends tax treatment for digital asset lending agreements, wash sales (with specific exceptions for payment stablecoins), and creates a mark-to-market election for dealers and traders in digital assets. It also defers income recognition for digital asset mining and staking activities until the assets are sold, and allows charitable contributions of actively traded digital assets. These provisions apply to taxable years beginning after 2025 and will terminate after December 31, 2035.