Illinois has released draft regulations proposing a tax on all cryptocurrency transactions beginning in 2027, regardless of whether the transaction results in a profit or loss. The proposed rules would apply to crypto trades and transfers irrespective of capital gains outcomes. The draft framework marks a significant departure from traditional capital gains taxation models that only levy taxes on profitable dispositions. Illinois authorities have opened the proposal for review as the state moves to establish a comprehensive regulatory structure for digital asset taxation ahead of the 2027 implementation target.