Crypto Groups Seek Court Ruling to Strike Down Illinois Digital Asset Tax

The Crypto Council for Innovation (CCI) and the Blockchain Association have filed a joint motion in the Sangamon County Circuit Court seeking an expedited schedule for summary judgment on Illinois's 0.2% Digital Asset Tax Act, arguing that the merits of the case should be decided as quickly as possible. The two industry advocacy organizations joined the Digital Chamber and the Illinois Blockchain Association, both of which filed separate suits challenging the tax, in asking the court to fast-track proceedings.

"While pausing enforcement of the Digital Asset Tax Act protects Illinois consumers and businesses from this onerous and legally flawed tax until July 1, it remains imperative that the merits are determined as soon as possible," CCI CEO Ji Kim said. CCI and the Blockchain Association have asked the court to rule on the law's lawfulness by March, subject to judicial approval. Earlier this month, Illinois officials agreed to push back the tax's implementation by six months, from January 1 to July 1, 2027, responding to claims that the measure was "slipped into the state's budget" without public debate.

Digital Chamber CEO Cody Carbone previously stated that the organization would continue legal proceedings "until this tax is struck down for good," underscoring the industry's unified stance against the levy. The expedited ruling would spare crypto businesses and consumers an extended period of uncertainty while litigation remains pending.

The legal battle comes amid a leadership shakeup at the Blockchain Association. Summer Mersinger, who joined the advocacy group last year after resigning from the US Commodity Futures Trading Commission, is scheduled to step down as CEO on Friday. Kristin Smith, the organization's former CEO, will return as interim head, with Mersinger expected to remain in an advisory capacity through the end of 2026.