Bitwise CEO and other crypto industry executives criticize California's proposed 5% wealth tax

Techub News reported, according to Cointelegraph, a proposal in California, USA, to introduce a 5% wealth tax on billionaires' net worth has sparked strong opposition from cryptocurrency industry executives. The proposal, named the "Billionaire Tax Act of 2026," plans to levy a 5% tax on individuals or entities with a net worth exceeding $1 billion to fund healthcare and state assistance programs. As the tax would partially target unrealized gains, it could force billionaires to sell assets to pay the tax. In response, cryptocurrency industry figures such as Bitwise CEO Hunter Horsley and Kraken co-founder Jesse Powell have publicly opposed the move, arguing it would lead to an exodus of entrepreneurs and capital and questioning government spending efficiency. U.S. Representative Ro Khanna (California's 17th district) defended the proposal, stating it would be used to improve childcare, housing, and education, which would benefit American innovation.