Cryptocurrency increased adoption suggests IRS will have heightened interest in crypto-asset capital gains, and a large cohort of investors will be forced to grapple with infamously unclear crypto taxation laws. Chances are, you’re one of them! That’s where we come in. Our tax reporting platform was created by a senior team with years of combined experience in Financial Services, Fintech and blockchain technology to help you navigate your crypto taxes with ease. Let’s delve into why Coqonut is the only tool you’ll need to calculate your crypto gains and losses.
We’re Here to Help with Your Tax Filing
Taxes are hard enough, and your crypto assets add another layer of complexity. Look no further than US federal tax laws to uncover a myriad of confusing requirements. So, what does this mean for you?
If you’re a US resident, crypto trades and property transactions are one and the same. While this formally requires the specific identification accounting method be used, the inherent nature of crypto makes this near impossible for the majority of traders.
As a result, most US traders and accountants use the alternative first in first out (FIFO) accounting method. In response to this widely accepted standard, we’ve ensured FIFO is fully supported on the Coqonut platform:
- First In-First Out: FIFO means that your gains will be calculated by matching each “out” transaction (sold or sent) with the oldest available “in” transaction (bought or received).
Your tax liabilities will be calculated with accuracy and ease — complete adherence to official methodologies is at the heart of Coqonut. If you need to retroactively calculate your gains or losses, no problem — Coqonut supports years 2014 through 2018.
Coqonut also allows you to export reports as Excel spreadsheets. This gives you the option of submitting additional information with your tax return as supporting documentation. Our Service Is Totally Secure and Easy to Use
There’s no denying that trading crypto comes with significant risks. This decentralized ecosystem receives consistent criticism for lacking regulation and government oversight. In 2018 alone, a record $865 million was stolen from six exchanges as a result of hacks. This amount was more than double that taken from exchanges in 2017.
In response to these risks, we’ve built the Coqonut platform to put your security and confidentiality first. Rest assured, we’ll never ask for your exchange login credentials. Instead, Coqonut uses API Keys to communicate with your external wallets and exchanges.
This is a secure method that allows you to control, grant and revoke access on your own terms. Our platform offers an intuitive step-by-step process that makes it easy to import your trading information:
- Sign into your account on Exchanges and retrieve your API Key, with Read-Only permission only.
- On the Coqonut Dashboard, select “Add” and use the drop-down menu to choose the wallet you’ll be importing from.
- Enter the API Key you retrieved and let Coqonut do the job for you!
- Repeat as necessary for each of your crypto accounts.
Coqonut will never have access to your crypto wallet and cannot execute trades on your behalf. You’re merely giving us read-only access to your transaction history — nothing more. As mentioned, if you choose to revoke Coqonut’s access, it’s as easy as removing the associated API Key.
We Support Multiple Wallets, Exchanges, and Currencies
The Coqonut platform is highly immersive and seamlessly integrates with an impressive array of wallets and exchanges. Our platform currently supports the following integrations:
- Binance
- Bitcoin Wallet
- Bitstamp
- Coinbase
- Coinbase Pro
- Ethereum Wallet
- Gemini
- Kraken
- Paymium
- Poloniex
Don’t see an exchange or wallet you currently use? We’re always adding new partners and will continue to develop integrations based on user demand.
But that’s not all. As any crypto investor knows, there are seemingly countless crypto-assets to invest in. That’s why Coqonut supports every crypto asset you hold in your integrated wallet or exchange. That’s right, all of your trading information, regardless of the token, will seamlessly import to the Coqonut platform. How convenient is that?
Coqonut Is All You Need
Whether you’re a newcomer to the world of crypto or a frequent trader, Coqonut will save you valuable time and money. Each tool is guided by an intuitive, polished user interface that facilitates a truly immersive user experience.
But even more impressive than Coqonut’s usability is its inherent focus on security and confidentiality. Continued record-breaking exchange hacks further prove that security is more important than ever in the crypto ecosystem. By using API Keys, Coqonut gives you complete control of your crypto-account integrations. This off-chain approach to data collection ensures that only your transactions are accessible, not your funds.
And no matter what crypto-assets you hold, Coqonut will securely and seamlessly import all of your wallet and exchange activity. Coqonut’s powerful tools and streamlined interface ensure your tax liabilities are calculated easily, safely, and in complete compliance. Are you ready to take control of your crypto taxes? Try Coqonut today!
