NFTs, Business, Taxes

Accounting and Tax Planning for Generative NFT Drop Teams

No answers here, but a lot of questions — and, hey, that’s something.

Photo by Olga DeLawrence on Unsplash… LOL, see the year 2019 there? As if anyone had thought NFTs would explode a few years later, right?

Well, I just can’t believe I’m putting this out there as a Medium article, as it’s a tangential issue in the NFT space (at least as far as my involvement goes, as I’m a web3 dev specializing in generative art coding). BUT… look, frens, it’s important. And, both for you and for your investors, it’s just best to keep everything on the up-and-up.

I’ve made this point in a few pieces, but I feel so strongly about it that I wanted a dedicated opinion piece here on my feed. And the reason for this is because I’m in touch with teams worldwide, meeting with new teams each week, just as I’ve done for the past nine months (so far!). And I want them all to succeed long-term.

Back when I started — back in the ancient mid-2021 era of the NFT space — I used to get this question a lot in initial meetings:

“Ummmmm … so, are we gonna like 1099 you for the web3 dev and, uhhh, like, is the ETH we get gonna be taxed somehow? Because we’re kinda like, trying to just be anon here, you know?”

Yes, I know. Crypto is like that. Everyone wants to be anon (or, at least they used to). Heck, even today, you go to an NFT drop site and they’re all…