#152 - Crypto tax trends, with Jason Schwartz of CahillNXT

Law of Code

Crypto tax expert Jason Schwartz joins the podcast to break down what founders get wrong about taxes — and what’s changing in 2025.

Jason is a partner at Cahill NXT, where he specializes in the tax treatment of digital assets, financial products, and decentralized protocols. In this episode, he shares insights on how projects are approaching structuring, the rise of 501(c)(4) entities, common tax pitfalls with Cayman foundations, and how the IRS might soon leverage AI to change enforcement.

Timestamps:
➡️ 00:00 — Intro

➡️ 01:18 — Sponsor: The Hedera Council

➡️ 01:23 — Crypto tax trends

➡️ 04:23 — Can offshore projects return onshore?

➡️ 05:12 — Common tax mistakes & how they could backfire

➡️ 11:31 — What happens if the IRS comes knocking

➡️ 13:55 — Major crypto tax developments under the new administration

➡️ 18:56 — Status of Lummis’ tax proposal and what might come next

➡️ 24:50 — Staking: why current proposals may not solve the problem

➡️ 31:11 — Airdrops: what upcoming legislation could get wrong

➡️ 36:30 — How the IRS might use AI and what that means for crypto traders

➡️ 42:24 — Why a mark-to-market election could provide needed clarity

➡️ 44:39 — Lending, wrapping, and other grey areas: what’s “reasonable”?

& more.

Sponsor: This episode is brought to you by the Hedera Council, the decentralized governing body for the Hedera network. They are currently hiring a Legal Counsel, and interested candidates can apply at https://hedera.com/future?gh_jid=4574329006. Be sure to tell them you heard of the position on the Law of Code podcast!

📬 Jason on Twitter: @CryptoTaxGuyETH

Disclaimer: Jacob Robinson and his guests are not your lawyer. Nothing herein or mentioned on the Law of Code podcast should be construed as legal advice. The material published is intended for informational, educational, and entertainment purposes only. Please seek the advice of counsel, and do not apply any of the generalized material to your individual facts or circumstances without speaking to an attorney.