TLDR
- Coinbase executives denied allegations that the company lobbied against a proposed Bitcoin de minimis tax exemption.
- Chief Policy Officer Faryar Shirzad called the claim a total lie in a public response on X.
- CEO Brian Armstrong also rejected the rumor and described it as totally false.
- Marty Bent alleged that Coinbase told lawmakers the exemption was unnecessary for Bitcoin.
- Senator Cynthia Lummis supports legislation that would set a $300 transaction threshold with a $5,000 annual cap.
Coinbase executives publicly rejected claims that the company lobbied against a proposed Bitcoin tax exemption. Chief Policy Officer Faryar Shirzad and CEO Brian Armstrong both denied the allegation on X. Their responses followed online accusations that Coinbase opposed a de minimis exemption for Bitcoin transactions.
Coinbase Executives Reject Bitcoin Lobbying Allegations
Faryar Shirzad responded directly to podcaster Marty Bent on X. He wrote, “This is a total lie @MartyBent. We have never and will never lobby against Bitcoin. Ever.” He stated that 6gdvafter Bent alleged Coinbase opposed a de minimis exemption.
Brian Armstrong later addressed the claim on the same platform. He called the rumor “totally false” and rejected the accusation. However, several users requested a formal public statement from him.
Jack Dorsey, CEO of Block, asked Armstrong for clarification. He wrote, “hope this is true for de minimis as well. @brian_armstrong?” His comment referenced concerns about the proposed tax exemption.
Bent stated on March 11 that Coinbase told lawmakers the exemption was unnecessary. He claimed the company said, “No one is using bitcoin as money.” He also alleged that Coinbase favored a stablecoins-only treatment.
Bent later stated that he had three separate sources supporting the rumor. He did not identify the sources publicly. However, he maintained that lawmakers heard the company’s position directly.
De Minimis Tax Exemption Debate and Industry Response
The proposed exemption would remove capital gains taxes on small Bitcoin transactions. Lawmakers backing the measure seek to ease reporting rules for everyday payments. Senator Cynthia Lummis supports legislation setting a $300 transaction limit.
The bill would also include a $5,000 annual cap. Lawmakers designed the proposal to align Bitcoin payments with small foreign currency exchanges. Under current law, each Bitcoin payment creates a taxable event.
Bitcoin Policy Institute Managing Director Conner Brown addressed related developments. He said lawmakers shifted toward limiting the exemption to stablecoins only. Brown stated, “BPI continues to meet with lawmakers to explain what a strategic blunder this would be for the U.S.”
Block Inc. has publicly supported the Bitcoin exemption. In November 2025, the company launched its “Bitcoin is Everyday Money” campaign. It also rolled out Lightning Network tools for Square merchants.
The company enabled zero-fee Bitcoin payments through 2027. Block promoted these tools through Cash App and Square. Company executives stated that broader usage supports Bitcoin’s role as money.
Lightning Network data counters claims that Bitcoin lacks payment use. A February 19, 2026, report cited $1.17 billion in monthly volume. The report recorded 5.22 million transactions in November 2025.
River Financial aggregated data covering over 50% of network capacity. The average transaction size reached $223. Earlier figures showed 1.5 million users and $1.5 billion in trading volume.
Block Bitcoin product lead Miles Suter reiterated the company’s position. He said, “If Bitcoin just becomes digital gold, we failed the mission.” He added, “Bitcoin payments validate Bitcoin. They make it real. Bitcoin is money.”
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