Accounting for Cryptocurrency: What Accountants Need to Know?

As currencies go digital, cryptocurrencies are becoming popular for transactions. However, their legality varies by country, leading to regulatory challenges. In the US, under IFRS and GAAP, cryptocurrencies must be reported as intangible assets with an indefinite life. These assets don't require amortization, but losses must be reported if their value drops below the cost basis due to their volatility. Accounting for cryptocurrency can be complex, requiring adherence to financial guidelines. MonkTaxSolutions helps businesses navigate these challenges by streamlining the crypto accounting process. Contact us to manage and maintain your cryptocurrency transactions efficiently.