Coinbase exchange founder and CEO Brian Armstrong has dismissed claims that the company has been lobbying against a tax exemption for Bitcoin transfers below $200.
In a statement on X (formerly Twitter), Armstrong labelled the claims as “totally false,” adding,
I’ve spent a bunch of time lobbying for Bitcoin’s de minimis tax exemption, and will continue doing so. It’s obviously the right thing.
The U.S. policy for Coinbase, Kara Calvert, echoed Armstrong’s stance. She dismissed the allegations as ‘categorically false,’ stressing that they have been advocating for tax exemptions for all digital assets.
Coinbase has been advocating for a de minimis exemption for all digital assets since 2017.
Is Coinbase fighting Bitcoin?
Lawmakers like Senator Cynthia Lummis (R-WY) have been championing tax exemptions for BTC transfers below $300. The current draft legislation, the CLARITY Act, prioritizes tax exemptions for stablecoin spending below $200.
The accusations against the exchange were initiated by media publisher TFTC, which claimed that Coinbase’s secret lobbying is meant to protect its interest income tied to USDC.
A de minimis exemption for Bitcoin would let people spend it freely for everyday purchases without triggering a taxable event. That makes Bitcoin a direct competitor to USDC as a payment method. Coinbase doesn’t want that competition.
In fact, TFTC founder Marty Bent maintained that he had sources that contradicted Armstrong’s pro-BTC stance on tax exemptions. He stressed that Armstrong’s team and lobbyists were opposing blanket exemptions for BTC transfers.
Conner Brown, head of advocacy group Bitcoin Policy Institute, reiterated Bent’s claims and cautioned,
This is extremely concerning if true. I can confirm that over the past three months, there’s been a strong shift on the Hill to limiting the de minimis exemption to stablecoins only.
However, in response, Coinbase’s Calvert clarified that,
100% false reporting. We strongly support both Senator Lummis’ bill and the work in the House to create a de mimimis exemption for ALL digital assets.
Under U.S. tax law, stablecoins and crypto assets are treated as property and not ‘currency.’ Unlike traditional cash transfers, U.S. “payment stablecoins” trigger taxable events like other crypto transfers.
Worse still, crypto staking is subject to double taxation and remains unresolved as of early 2026.
To drive adoption, the crypto industry and some lawmakers, such as Senator Lummis, have been advocating for tax relief.
So far, none of the efforts has materialized. The outcome for the crypto tax relief will depend on the final CLARITY Act draft and its passage into law.
Final Summary
- Coinbase has distanced itself from claims that it secretly opposes tax exemptions for small BTC transfers.
- U.S. tax law still treats crypto and stablecoins as property; hence, transfers, even for coffee payments, will trigger a taxable event.
