Uncover the Top 5 Significant Developments in the Cryptocurrency World This Week
In the ever-evolving world of cryptocurrencies, a notable shift is on the horizon as global tax regulations undergo significant changes. With 2026 fast approaching, the intensification of crypto tax control is expected to have a profound impact on the industry.
Currently, cryptocurrencies are taxed as property in many countries, including the United States. Gains from crypto held for one year or less are taxed as ordinary income, ranging from 10-37%, while gains on assets held longer than a year benefit from lower capital gains rates (0-20%). Income from mining, staking, payments in crypto, and airdrops is taxed as ordinary income when received. The Internal Revenue Service (IRS) requires accurate cost-basis records, as every disposal of crypto (selling, swapping, using) is a taxable event, though transfers between wallets owned by the same person are not taxable events.
A major regulatory development is the Crypto-Asset Reporting Framework (CARF), which has been committed to by over 60 countries. This framework mandates near-real-time global reporting of crypto transactions by exchanges, brokers, decentralized exchanges (DEXs), and non-custodial services alike. The aim is to achieve global crypto tax transparency and compliance by tracking and reporting detailed transaction data, including counterparties and amounts.
Some countries, such as El Salvador and Germany, have favourable or zero taxation on crypto. El Salvador recognizes Bitcoin as legal tender and has abolished capital gains, income tax for foreign investors, Value-Added Tax (VAT), property tax, and more on crypto transactions. Germany exempts long-term crypto sales (held over one year) from capital gains tax and does not tax profits under €600 if held for shorter periods, but taxes mining and staking at a high income tax rate.
As we move into 2026, the implementation of CARF signals a significant intensification of crypto tax control worldwide, moving from minimal oversight toward rigorous, almost instant reporting of crypto transactions across jurisdictions. This means global tax authorities will have unprecedented visibility into crypto activities, effectively closing many avenues for tax evasion or underreporting.
Many countries are expected to follow the 60+ nations committed to CARF, broadening the scope of reported crypto transactions beyond custodial exchanges to also include decentralized and non-custodial platforms, drastically expanding regulatory reach. The US and other major economies continue refining their regulatory frameworks with clearer registration paths for crypto entities while maintaining strict Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) compliance, supported by agencies like the Securities and Exchange Commission (SEC), Commodity Futures Trading Commission (CFTC), Financial Crimes Enforcement Network (FinCEN), Federal Deposit Insurance Corporation (FDIC), and Office of the Comptroller of the Currency (OCC).
In the midst of this regulatory maturity, companies like Robinhood are expanding their offerings. Robinhood, a neo-broker, allows European users to trade tokenized stocks of companies like OpenAI and SpaceX using blockchain technology on the layer 2 Ethereum network Arbitrum. However, OpenAI has criticized this offer, stating that it is not a partner of Robinhood and has not approved these transactions.
Charles Ledoux, a Bitcoin and blockchain technology specialist with a background in the Crypto Academy and experience as a Bitcoin miner, has written numerous masterclasses and over 2000 articles to educate new entrants to the crypto industry and share his passion for crypto through articles on various platforms.
As the crypto sector experiences a resurgence with blockchain innovations, regulatory confrontations, and competition between ecosystems, it is crucial for individuals and institutions to stay informed about these changes and adapt to the evolving landscape of cryptocurrency taxation.
- In light of the upcoming implementation of the Crypto-Asset Reporting Framework (CARF) and the intensified crypto tax control in 2026, understanding the tax implications of investing in cryptocurrencies, such as financing through crypto academies, could become increasingly important for investors.
- As regulatory bodies in various countries, including the US, refine their cryptocurrency tax frameworks, individuals investing in or mining cryptocurrencies, like Charles Ledoux, a Bitcoin and blockchain technology specialist, may need to stay updated on the latest technological advancements and tax regulations to effectively navigate the evolving crypto-finance landscape.
