Coinbase Exchange Sends Tax Forms to Clients

The 1099-K form was received by those Coinbase users who carried out more than 200 transactions within a year for more than $20,000
02 February 2018   1367

On January 31, Coinbase, a digital currency wallet and platform based in San Francisco where merchants and consumers can transact with digital currencies like Bitcoin, Ethereum, and Litecoin, has issued a 1099-K tax forms and sent them to some of its clients in the United States. 

In the United States, Form 1099-K "Payment Card and Third Party Network Transactions" is used to report payments received through reportable payment card transactions (such as debit, credit, or stored-value cards) or settlement of third-party payment network transactions.

According to Coinbase, the 1099-K form was sent to those clients who have processed more than 200 receipt transactions, or transacted more than $20,000 during past year, including the users of "business use" accounts.

We used the best data available to us to determine whether your account activity qualifies as Business Use, including but not limited to factors such as completion of a merchant profile or enabling merchant tools.

Coinbase Statement

The move of Coinbase disappointed many clients of the exchange as they understood that their transactions history would be reported to the The Internal Revenue Service, which is the tax collection agency that administers the Internal Revenue Code enacted by Congress. Moreover, some customers have reported that the figures in the tax forms were higher than they expected.

Coinbase to Acquire Neutrino

Startup will help the exchange to determine the most popular tokens in certain regions for listing on the respective branches of the site
19 February 2019   117

Coinbase cryptocurrency exchange bought analytical blockchain-startup Neutrino. The amount of the transaction was not disclosed, CoinDesk reports.

According to Coinbase product director Varun Srinivasan, the startup will help the exchange to determine the most popular tokens in certain regions for listing on the respective branches of the site.

It is noted that eight employees of Neutrino will be transferred to Coinbase’s London office this week.

We decided to join Coinbase because we’re totally aligned with the company’s mission of building an open financial system and we share the same commitment to regulation, compliance and security in the cryptocurrency space. 

Giancarlo Russo

CEO, Neutrino

Earlier in February, the Coinbase venture unit financed a startup Dharma Labs, developing a decentralized lending platform for cryptocurrency traders and investors.