Trump plans to reduce crypto taxes, US Crypto tax less than 10% for FDI countries

Recently, according to some reports, there has been a big opportunity in America for crypto taxation, crypto adoption, and crypto economy along with Bitcoin ETFs. Recently, we have been told that currently there are crypto taxes ranging from 10-39% in the US which excludes gambling, fraud, and many other illegal sources besides investing. But if you are a Bitcoin, crypto holder and crypto miner then the maximum tax applicable for you is 38%. However, due to low taxes in UAE, Singapore, Malta, and El Salvador, US investors are moving into foreign investment platforms, settles, domestic expenses, and investment in futuristic technologies. According to a recent report, US investors have approximately USD $1 Trillion in investments in crypto in which BitcoinETFs, the US Government, US Assets Managements, and Crypto Exchanges have major stakes.  Due to USer other banking interest, Domestic taxation, etc. Crypto taxes are high, about 10% of US crypto investors are settling in UAE and other Tax-free countries.

Trump reduced Crypto taxes by less than 10% to increase the inflow of Foreign Direct Investment.

Trump considered increasing the inflow of US-backed Crypto Companies and Assets managers by reducing Crypto Taxes and Crypto ETFs. As of 2024, the top foreign investors in the United States were the Netherlands, Japan, Canada, and the United Kingdom. Recently, the top cryptocurrency exchange and crypto investors in the United States including Grayscale Investments, Coinbase, MicroStrategy, BlackRock, and Venture Capital Firms are launching futuristic crypto investing platforms to increase the FDI, Values of Bitcoin ETFs, hedge funds, and index funds. The Netherlands has become the top investing country by foreign parent country in the United States. Netherland’s Pension fund has invested more than $717.5 billion in foreign direct investment (FDI) in the United States. Japan also invested $783.3 billion in the ultimate beneficial owner (UBO). IMF and World Bank expect a decrease in US crypto taxes will increase the Inflow of Crypto and Bitcoin companies and firms in the United States. 

Why is Trump reducing US Crypto Taxes for top FDI investing countries?

Many Foreign VC firms in the U.S. are heavily invested in blockchain and crypto startups and BitcoinETFs secure long-term and Short-Term futuristic investment and strategic pension funds. Recently, A large asset management company (BlackRock) has entered the spot bitcoin ETF market and offered a new crypto strategy, Crypto Reserve, and Crypto-backed Forex reserve to Japan, Netherlands, and Canada. The top European countries with significant investments in U.S. asset firms are essential to consider increasing Foreign Direct Investment (FDI) in Crypto and BitcoinETFs through their Pension Fund, Index Fund, and Hedge Fund. Recently, Japan, Canada, The Netherlands, Germany, and the United Kingdom have historically led in top FDI (Foreign Direct Investment) investment positions in the United States. According to information from the U.S. Department of Commerce, the inward FDI position in the U.S. was valued at $6.5 trillion in 2024. In the future, FDI positions will reach $8 Trillion USD in the United States, if Donald Trump takes a new step for Crypto and AI technologies-related taxation. Donald Trump and US Crypto Companies expect that $500 Billion USD in Crypto or Bitcoin ETFs will be added to new inflows after the reduction of US taxes on Crypto and AI assets.