Bankruptcy Integrations
E
Extensive Prawn
Can an option be made in the "+ Wallets" section where a custom bankruptcy (BKK) "Wallet" could be made? This type of "Wallet" would need to be able to be created multiple times for people involved with multiple bankruptcies, ie Celsius, Voyager, Blockfi, etc.
In the Koinly interface, clients could transfer funds from the defunct companies to the BKK wallet. The BKK Wallet would need to have a function where the cost basis of the crypto involved would be accounted so that when selling future crypto, not involved, in the BKK pulls the correct cost basis. Many exported CSV's from these companies include the USD value of deposits or yield as they were received.
The BKK Wallets would need to be able to have a final claim amount associated with it and reflect the loss or gain from the original cost basis of deposits and yield involved in the BKK. As clients receive funds from the the debtor for their claim, additional inputs can be made to the BKK Wallet by the client for the amount of Crypto, USD or equity (USD amount) received. Original cost basis would be used to generate for loss or gain and deducted from the BKK wallet claim amount. This would continue until the claim was fully paid and all losses and gains accounted for.
Since claims are not always distributed through the same platform, ie PayPal is planning on distributing Celsius claims (in crypto) to customers. Because of this, the platforms that are making the distribution may need to be associated in some way with the BKK wallet to show the proper flow of Crypto for tax reporting.
The losses and gains can continue to be reported similar to other non BKK transactions. Adding a special tag to the generated tax forms would help identify them for your tax preparer.
E
Electric violet Butterfly
Came here to reiterate this. Koinly has no real out of the box bankruptcy configurations. Combined with its NULL token usage and you have to laboriously go over every asset you held on that platform to create these non-descript transactions.
E
Evergreen Reptile
We just need the ability in koinly to take entire balance of a coin wallet and edit the sold date and price sold. Then the software could recalculate the entire wallet and provide the gain or loss. Then do it for each coin wallet. Or maybe I'm oversimplifying.
N
Novel Shrimp
Hi there, Koinly did an amazing job helping me resolve this. I cannot give tax or financial advice but can explain what I (rather Koinly) did to help me. I believe Judge Glenn decided the tokens belonged to Celsius. So I treated all original transfers to Celsius now as SEND disposals (realising a gain/loss) and the token received by Celsius as cTOKENS (all funding needed manual setting of prices for cTOKENs and I had to get this from CMC). All yield as cTOKENs, withdrawals I sent back to myself as cTOKENs back to native token, realising gains/loss on each txn. This was how I have reported this and cannot give any advice at all but wanted to share this as it gave me a headache for months. This has now seperated all my tokens from anything stuck on Celsius. when (if) we get anything back from Celsius I will dispose of all tokens stuck on the platform (cTOKENs) at NIL value and use the market value of the tokens on the day sent and received by the platform as the cost basis excluding any of those removed from the platform. Again not tax or financial advice but rather my story on how I am planning to report my taxs to HMRC. I really hope this helps. My reporting of this is the final stress despite losing funds to these scammers. Best Regards