What happened? The IRS and Treasury clarified that unrealized crypto gains don’t count toward the 15% Corporate Alternative Minimum Tax (CAMT).
A new 71-page update says companies don’t have to include unrealized Bitcoin gains or losses in CAMT calculations, removing a potential multi‑billion tax liability. Strategy (MicroStrategy) immediately said it no longer expects that tax bomb, and its shares jumped about 5% on the news. Bitcoin held firm above $118K as the market digested the guidance and the reduced regulatory risk.
Who does this affect? Companies with large Bitcoin treasuries and the investors who back them are the main winners.
Firms that keep meaningful BTC on their balance sheets—like Strategy—won’t face surprise CAMT bills tied to unrealized appreciation, easing a major compliance headache. Institutional investors and treasurers weighing Bitcoin for corporate reserves now have clearer tax treatment to factor into their decisions. Shareholders and traders in crypto-heavy companies will likely see lower tail risk and could re-rate those stocks higher.
Why does this matter? Removing the tax overhang could spark more corporate and institutional buying and support higher Bitcoin prices.
With the CAMT uncertainty gone, the chance of forced selling from corporates falls and holding BTC becomes more attractive for treasury management. That should increase demand from institutions reassessing Bitcoin allocations, which is bullish for BTC and for stocks of firms holding large crypto positions. In the short term prices may see consolidation after the breakout, but the guidance meaningfully reduces downside tail risk and boosts the case for continued upside.