In a shocking press release on 20 November 2025, US Rep. Warren Davidson introduced a bill called the Bitcoin for America Act.
The purpose of this bill is to allow United States taxpayers to pay federal taxes, and any other penalty relating to tax, with Bitcoin.
Even more shocking, if a taxpayer pays their taxes with Bitcoin “no gain or loss shall be recognized” as stated in section 2 (d) of the bill. What this means is that taxpayers would not have to pay any capital gains tax when paying these taxes with Bitcoin.
What Will Happen to the Bitcoin Collected?
Davidson proposes in the Bitcoin for America Act that all Bitcoin collected through taxpayers paying federal taxes will be sent to the United States Strategic Bitcoin Reserve (SBR).
On his website he states that the United States “will benefit by having a tangible asset that appreciates in value over time—unlike the U.S. dollar, which has steadily lost value under inflationary pressures”.
The act also states that Bitcoin collected in this way shall be kept in the SBR for a minimum of 20 years. It will not be allowed to sell or swap Bitcoin for 20 years, or only one-twentieth may be sold or swapped within any one-year period.
Why is the Bitcoin for America Act Being Put Forward?
Davidson’s website states that it will give the American people more choice when paying their taxes. It also cites that other nations, particularly China and Russia, are accumulating Bitcoin and that this bill will help to ensure that America doesn’t fall behind.
Moreover, the act states that the fixed supply of 21 million Bitcoins creates a scarcity that contrasts sharply with the US Dollar.
This is basically an admission that Bitcoin is a stronger store of value than the US Dollar and the government is so keen to accumulate Bitcoin that they are willing to forgo the income they would receive from capital gains tax.
If this bill is enacted, and people do pay taxes with Bitcoin, it would effectively reduce some of the circulating supply as it would be locked in the SBR for 20 years. Moreover, it could cause other nations to follow suit and also accept Bitcoin as a payment method for taxes.
The IRS would now have to put in place a custody solution for the Bitcoin it collects, making cryptocurrency much more integrated into the financial system.
Reliable Bitcoin Wallets
As Bitcoin becomes a normal part of financial life, users will need a reliable wallet to store it. Many investors have commented that they would not pay their taxes with Bitcoin, preferring to pay with US Dollars because they depreciate in value over time.
Regardless of whether users choose to pay with Bitcoin or not (the bill would just make it an option not mandatory), it makes sense to have your own secure, easy-to-use wallet to store your crypto.
We have seen that exchanges can freeze funds, or suffer outages, and aren’t advisable for long term storage. You certainly wouldn’t envisage the government keeping Bitcoin on an exchange.
Therefore, the only way to maintain full control over your Bitcoin is by embracing secure, self-custodial tools like Best Wallet. What makes Best Wallet a better option than exchanges is its alignment with the core principles of true crypto ownership, ensuring that only you, not even the wallet’s developers, have access to your Bitcoin.
Yet, it doesn’t leave the entire responsibility of securing your assets to you. Unlike most competitors, it has already integrated powerful security features such as Fireblocks, biometric logins, 2FA, and spam filters, all of which help safeguard users’ assets and personal information.
Considering how effective these tools have been in eliminating unauthorized access to users’ wallets, it’s hardly surprising that the wallet is among the few platforms listed in WalletConnect’s coveted gold certification – a program designed primarily to award wallets that meet its high standards for user experience and security integration.
At the same time, it offers a complete suite of trading features to help modern traders navigate the volatile market with full confidence. For instance, it has a multichain functionality, with full compatibility for assets across popular networks, including Bitcoin, Ethereum, Solana, Binance Smart Chain, Base, and Polygon.
Beyond that, Best Wallet also lets users connect other wallets to it, and manage their assets stored in different places seamlessly from one app. It further elevates the overall user experience with other popular features such as staking perks, fiat payments, cross-chain swaps, portfolio management, and a token launchpad.
And as Bitcoin becomes more mainstream, experts believe platforms like Best Wallet could become a haven for users who prioritize financial privacy and independence.
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