Complete Form 8949 – You must report each cryptocurrency sale or exchange on IRS Form 8949, including the cost basis, sale price, and capital gain or loss. The IRS treats cryptocurrency as "property." If you buy, sell or exchange cryptocurrency, you're likely on the hook for paying crypto taxes. Coinbase and then deposit designated crypto assets into these accounts or purchase the designated crypto assets from Coinbase's platform. 46. , using BTC for a purchase) is considered a disposal and taxable. We will be answering crypto tax questions as best we can but Fidelity doesn't give tax advice so nothing we talk about today should be interpreted as tax advice. Explore laws and regulations related to cryptocurrency and virtual currency statebystate.