Koinly is a powerful cryptocurrency tax and portfolio tracking tool designed to simplify the process of calculating capital gains and crypto income for individuals and accountants alike. In this article, we’ll delve into the features, benefits, and capabilities of Koinly, helping you understand how it can streamline your crypto tax reporting.

Key Features

  1. Seamless Exchange and Wallet Connectivity: Koinly connects with over 800 exchanges, wallets, and blockchains, allowing you to automatically import your transaction data. This eliminates the need for manual data entry, saving you time and reducing errors.
  2. Cost Basis Calculation: The platform supports various cost basis calculation methods, including FIFO, LIFO, and HIFO, ensuring compliance with your country’s tax requirements.
  3. Tax Report Generation: Koinly generates detailed tax reports, including Schedule D, Form 8949, TaxAct, TurboTax, and International Tax Reports, making it easy to file your taxes accurately.
  4. Portfolio Tracking: The inbuilt portfolio tracking feature provides a comprehensive view of your total holdings, including growth and ROI over time. This helps you monitor your investments and make informed decisions.
  5. Double-Entry Ledger System: Koinly’s double-entry ledger system detects and flags any suspicious or abnormal transactions, ensuring the accuracy of your tax calculations.
Sample of Koinly app screenshot

Benefits

  1. Time-Saving: Automating transaction data import and tax calculations saves you hours of manual work, allowing you to focus on other aspects of your crypto investment journey.
  2. Accurate Tax Filings: Koinly’s advanced algorithms and tax report generation ensure accurate and compliant tax filings, reducing the risk of errors and audits.
  3. Improved Transparency: The platform’s portfolio tracking feature provides a clear view of your investments, enabling you to make data-driven decisions and optimize your portfolio.
  4. Scalability: Koinly supports users across 20+ countries, making it an ideal solution for individuals and accountants with diverse crypto investment portfolios.

Reviews and Testimonials

While Koinly is a DIY platform, it has received positive reviews from users who have benefited from its simplicity and accuracy. One user, Mrs. Roberts Lee, a specialized expert in cryptocurrency recovery, praised the platform’s ability to help her recover a significant portion of lost funds after being defrauded by an online scammer.

Conclusion

Koinly is a robust and user-friendly crypto tax and portfolio tracking tool designed to simplify the complex process of calculating capital gains and crypto income. By automating transaction data import, cost basis calculation, and tax report generation, Koinly saves time, reduces errors, and improves transparency. Whether you’re an individual investor or an accountant, Koinly is an excellent solution for streamlining your crypto tax reporting and portfolio management.