Key Takeaways From The Working Group On Digital Assets Markets Report

The U.S. continues to advocate and advance pro-crypto policies Getty ImagesAs headlines focus on executive orders and sweeping legislation like the GENIUS and CLARITY Acts, a quieter but critical development has emerged: the release of the Working Group’s report on U.S. digital asset infrastructure. Commissioned as part of the broader effort to modernize the crypto landscape, this report identifies lingering friction points in the marketplace—from compliance uncertainty to inadequate disclosures. While progress has clearly been made, particularly in stablecoin policy, the report underscores that meaningful hurdles remain. For investors and builders, the message is clear: the foundation is being laid, but the structure is not finished yet.

With states, institutions, and various levels of government set to continue allocating billions to crypto and crypto projects the need for clear and concise understanding of the issues facing the space has neve been more important. As the SEC also reiterates support of a crypto master plan, alongside efforts from the White House to make the U.S. the crypto capital of the world, reports and policy pieces such as this are going to be an increasingly important part of these conversations.

That said, even though there has been significant progress made across the board, investors and policy advocates alike will need to not only understand but be able to translate into actionable business intelligence able to used by retail and institutional investors.

More Legislation Has Been Called For

The report does not leave the burden of rule-making to the wide range of entities currently tasked with doing so - it urges Congress to move beyond piecemeal oversight and deliver a comprehensive statutory framework for digital assets. It pushes back against the long-running model of regulation-by-enforcement, arguing that it injects uncertainty into the system and chills innovation. The path forward includes legislation that defines asset classes, assigns regulatory oversight, and clarifies stablecoin, custody, tax, and DeFi rules. For investors, this would mean less legal ambiguity and reduced compliance friction. Until then, stakeholders must continue to navigate a fragmented and fast-evolving regulatory environment.

Stablecoins Continue To Lead Policy Discussions

Reinforcing what’s been echoed in recent Treasury statements and the GENIUS Act, the report makes clear that USD-backed stablecoins remain a centerpiece of U.S. digital asset policy. By tying their development to broader national interests—such as preserving dollar dominance—the government is signaling strong support for regulated, lawful stablecoin ecosystems. For market participants, this could unlock broader institutional use, greater liquidity, and deeper integration into global payment networks. Clearer compliance rules would also enhance issuer credibility and deepen investor trust in the sector.

MORE FOR YOU## Staking And Mining Taxation Will Be Reviewed

Tax policy on staking and mining rewards remains a thorny issue. The report recommends that Treasury and the IRS revisit prior guidance that, in some cases, has triggered tax obligations immediately upon reward issuance—even before sale or realization. A reexamination of this position could pave the way for reforms that better reflect the economic realities of staking and mining. For investors and node operators, especially those in proof-of-stake ecosystems, even modest changes could reshape project economics and help scale blockchain infrastructure in the U.S.

Odds of substantive IRS movement on these issues in the short to medium term, especially without Congressional pressure, remains minimal, but reviewing these issues is imperative toward continued institutional investment and adoption.

Enhanced Disclosure And Audits Are Coming

The vertically integrated model used by many crypto exchanges—simultaneously acting as broker, custodian, and trading venue—has prompted concerns. The report highlights that, unlike their TradFi counterparts, most platforms are not subject to external audits or rigorous disclosure standards. Investors often lack insight into platform solvency, reserve holdings, and order execution practices. In response, the report advocates for updated licensing and disclosure rules designed to expose and mitigate these risks. For users and institutional allocators alike, transparency is no longer optional—it’s becoming table stakes.

Such findings reinforce the efforts of an array of institutions, including the Wall Street Blockchain Alliance, the Digital Chamber of Commerce, and the AICPA, to issue thought leadership around the important issues of crypto attestation and (eventually) audits.

The report’s findings arrive at a pivotal moment. Even with rising institutional participation and bipartisan momentum behind crypto legislation, market structure issues continue to evolve. For crypto-native and traditional investors alike, staying ahead of these regulatory developments will be essential as 2025 progresses.