CFTC Chair Criticizes Illinois 0.2% Crypto Trading Tax, Sets January 2027 Effective Date

According to The Block, CFTC Chairman Michael Selig criticized Illinois for passing a 0.2% crypto trading tax, stating the state "hit the brakes on technological progress" and disadvantaged residents in future digital asset innovation. Illinois Governor JB Pritzker signed the Digital Asset Tax Act last month as part of the state's 2027 fiscal budget; the tax is scheduled to take effect on January 1, 2027. Selig argued the move contradicts Washington's push for crypto innovation and may drive capital, businesses, and tech talent to other jurisdictions. Industry groups including Crypto Council for Innovation and the Illinois Blockchain Association have also opposed the measure.
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