Airbitz, a popular bitcoin wallet provider, is now addressing current government approaches to cryptocurrency, telling the world their app is great for keeping track of your tax obligations.
Airbitz Wants You to Use Their App to Keep Track of Your Taxes
Citing the confusing and inconsistent cryptocurrency tax policies around the world, Airbitz said crypto enthusiasts often have trouble keeping up with how much taxes they owe on their investments — or if they even have to pay anything at all.
The Airbitz app, the company said, allows users to tag individual transactions with specific information, as well as mark whether a certain transaction was an expense, transfer, income, or exchange. This utility could prove useful when trying to track tax obligations.
From the company’s blog:
“Wherever you live and are subject to taxation, Airbitz is a great tool to use not just to keep your bitcoin safe but to tag your transactions with specific information. In addition, we include by default the fiat value of the transaction at the very moment a transaction is made. This is vital to keeping your tax obligations in order without having to do a ton of digging to figure out what your fiat amounts were post factum.”
Additionally, Airbitz reminded users of the ability to export transaction data from the app, for “personal use and documentation.”
It is important to note, though, that most bitcoin wallets have transaction tagging utilities. So, even if one doesn’t use Airbitz, the company’s advice may prove useful nonetheless.
China Disrupts the Cryptocurrency World, Sends Markets Into Panic
The company’s appeal to tax-paying cryptocurrency users is timely, surfacing in the midst of a pending regulatory hurricane in China regarding ICOs and cryptocurrency exchanges.
As a result of recent announcements from the Chinese government, several exchanges based in the country have suspended trading activity. Additionally, unconfirmed rumors of other Chinese exchanges following suit have emerged.
In addition to exchange freezes, China’s statements sent the cryptocurrency markets tumbling. The bitcoin price fell by more than $1000 in one week: from the $4500 range to lows in the $3200s. In the last two days, however, the price has recovered significantly, floating in the $3600s at press time.
Most other cryptocurrencies have displayed similar market patterns in the last week, including Bitcoin Cash.
How do you keep track of your bitcoin tax obligations? Let us know in the comments below.
Images via Pixabay, Airbitz