Long-Awaited Bitcoin Accounting Rules to Capture Rises, Dips (2)

September 07, 2023

Crypto companies and other businesses with significant holdings of digital currencies will get long-awaited accounting rules to measure the value of the Bitcoin, Ethereum, and other crypto in their coffers, US accounting standard-setters unanimously voted Wednesday. I think it’s a great step toward mainstream adoption,” said Jeff Rundlet, head of accounting strategy at accounting software company Cryptio. The accounting rules will be mandatory for all companies—public and private—for fiscal years beginning after Dec. 15, 2024, including interim periods within those years. On an annual basis, they will have to reconcile—or disclose changes in the opening and closing balances of—their crypto assets, broken out by category. The crypto assets have to be currently classified as intangible assets, as defined by US accounting rules, and fungible, meaning they can be interchanged with assets of the same type.

The source of this news is from TaxBit