Crypto taxes
What you need to understand about the shift
Crypto taxes are entering a new phase
What was once largely self-reported and flexible is now becoming system-reported and standardized. With the introduction of IRS Form 1099-DA, digital asset activity is increasingly reported directly by exchanges and brokers — including proceeds, cost basis, and acquisition data.
This shift doesn’t necessarily mean higher taxes.
It means clearer rules, tighter defaults, and less room for retroactive decisions.
What investors need to know
As crypto reporting infrastructure matures, a few things matter:
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Cost-basis methods (FIFO vs. Specific Identification)
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Know when identification must occur
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Know how exchanges report activity to the IRS
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Mismatches between your records and broker reports
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Why tooling and record-keeping now play a larger role
Crypto taxes are no longer something to “clean up later.”
They are increasingly determined at execution.
Why this fits a bigger shift
This change mirrors what we’re seeing across markets and money more broadly: informal systems becoming formal, and flexible processes becoming embedded into infrastructure.
Understanding how crypto taxes work today requires understanding where the system is heading, not just where it’s been.
Where to start
Rather than breaking this into disconnected explanations, we’ve centralized everything in one place.
Our Start Here page walks through:
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How crypto rules are changing
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What 1099-DA actually represents
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How cost basis and reporting now work
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Recommended tools for staying aligned
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How this fits into the broader economic shift we cover
It’s also where readers can explore everything we offer, including subscribing to our Substack and joining the Token Trust ecosystem.
