Thanks sp_skeptic for insight.

Based what you are saying, it seems like the taxes is going to be a big pain and a potential needle to slam the coin bubble boom.
So basically, one would need to disclose any transaction to IRS after initial purchase. If the coin purchase with cash (initial transaction) is kept in the original coin value, than that doesn't need to be disclosed to IRS until that is cashed out.


If you have any sources, I would love to read more.


Biggest thing I can't seem to digest is paying taxes while the capital gains is not realized (coin transferred from one type to another). If we treat BTC/ETH as assets, then its just a commodity trade until commodity is realized to be cash then only we should be liable for tax.

The way I see it, currently IRS hasn't officially provided their stand on anything. And when they do, I am sure they will go back and hunt down all the transaction.


Why didn't recent tax bill reform include this as a major point of discussion! (sorry not to get political) But this just lets me distressed for all the crypto action I have been doing and plan to do.