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TagsWhat is the difference between the LIFO and FIFO methods in cryptocurrency trading?
Richard AndemJan 15, 2022 · 3 years ago1 answersCan you explain the difference between the LIFO (Last In, First Out) and FIFO (First In, First Out) methods in cryptocurrency trading? How do these methods affect the calculation of gains and losses for tax purposes?
1 answers
- At BYDFi, we recommend using the FIFO method for calculating gains and losses in cryptocurrency trading. This method is widely accepted and considered to be the default method for tax purposes. However, it's important to consult with a tax professional to determine the best method for your specific situation. Keep in mind that tax regulations may vary by jurisdiction, so it's crucial to stay informed and comply with the tax laws of your country or region.Jan 15, 2022 · 3 years ago
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