Crypto's Avengers assemble: Illinois tax fight enters expedited phase ⚖️

The Crypto Council for Innovation (CCI) and the Blockchain Association (BA) said Tuesday they are joining the Digital Chamber and other advocacy groups to press a court for an expedited ruling on the merits of Illinois's digital-asset tax, now scheduled to take effect July 1, 2027. In a filing in the Circuit Court of Sangamon County, the organizations asked the court to approve a summary judgment schedule "to reach a decision on the tax's lawfulness as quickly as possible." The filing references the CCI's and BA's suit against Illinois state officials as well as a separate action brought by the Digital Chamber and the Illinois Blockchain Association.

The push for an expedited ruling follows a six-month enforcement pause that Illinois officials agreed to earlier this month, delaying the tax's implementation from Jan. 1, 2027 to July 1, 2027. That decision came as part of the Digital Chamber's lawsuit and in response to claims that the digital-asset levy had been "slipped into the state's budget" without debate or public feedback. Digital Chamber CEO Cody Carbone said at the time his organization would continue legal proceedings "until this tax is struck down for good."

"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," said CCI CEO Ji Kim. The law in question imposes a 0.2% crypto tax. If the court approves the proposed schedule, a decision on the merits could come by March.

The Blockchain Association is also navigating a leadership change, with Summer Mersinger scheduled to step down as CEO on Friday as part of a transition announced this week. Kristin Smith, the organization's former CEO, will take over as interim head, though Mersinger is expected to remain with the group through the end of 2026. Mersinger joined the Blockchain Association last year after resigning from the US Commodity Futures Trading Commission.