CoinMarketCap powers accurate tax reporting with CryptoTax

Since the launch of our professional API in August, we have been working hard to ensure that the data is fresh, robust and reliable. This is important to the companies and developers who rely on our data to power their businesses, funds, and apps.

One of the important use cases of this data, then, is to help cryptocurrency exchanges and users understand just how much they need to report on their tax filings to ensure compliance. In order to fulfil their tax declaration obligations, they need a way to accurately calculate and reflect returns, and report them to the relevant authorities.

One of the projects that we have been working with is CryptoTax. Their goal, to simplify legal obligations for digital asset investors, is something that we support – making data and services accessible to end users will drive increasing adoption in the crypto space. Based in Munich, the team has been actively working with KPMG to develop tax frameworks for several countries, to ensure that users can stay compliant wherever they reside.

The correct valuation of blockchain-based assets is the basis of every tax report, requiring the right exchange rates and reliable output that takes into account when assets were bought and sold. As such, we are excited that our world-class data will now work in concert with CryptoTax’s quality offerings to their B2C and B2B customers, giving these customers credible insight into their portfolio.

“This is an important step towards helping crypto traders to become tax compliant,” said Klaus Himmer, CEO & co-founder of CryptoTax, “We continue to differentiate by providing high quality and reliable tax tracking and reporting services. The long-standing experience of market data leader CoinMarketCap helps us to foster the fundamental value of our services, and I am confident that this partnership is an essential driver for the establishment of crypto assets as an aspiring asset class.”

Let’s all continue working towards greater adoption and acceptance of cryptocurrencies!

Interested in using our data for your own project? Be sure to check out our Professional API. (We continue to provide a free tier to support our community!)