A report by Cato Institute researcher Nicholas Anthony highlights the extensive tax documentation required for daily Bitcoin transactions in the US. Due to the classification of Bitcoin as a capital asset, using it for everyday purchases like coffee can trigger significant tax and reporting obligations. Anthony suggests that the current capital gains tax on crypto assets increases compliance costs and undermines Bitcoin's viability as a currency. He proposes abolishing the capital gains tax entirely or, alternatively, introducing a small-amount tax exemption to alleviate the burden.