A Utah Company Wants To Drastically Expand Crypto Taxing

Cryptocurrency tax automation firm TaxBit raised $100 million in a set A funding round led by crypto investment fund Paradigm and Tiger Global.

The three-year startup that is old which develops income tax help tools for U.S. crypto exchanges and clients, told CoinDesk it'll more than double its 40-odd headcount as it prepares to include also government customers to the list.

TaxBit’s computer software abilities behind-the-scenes number crunching for exchanges in order to provide crypto traders a handle on their taxation burdens. Starting the 2021 tax period, TaxBit founder Austin Woodward told CoinDesk his company has already generated over 1 million reports for exchanges like Gemini.

Gemini founders Tyler and Cameron Winklevoss dedicated to TaxBit’s Series A, as did PayPal Ventures and CoinBase Ventures. The VC trio led a separate investment that is“strategic in TaxBit earlier in the day this season.

The eye-popping raise will allow the historically hush-hush, Utah-based firm to explode to the worldwide crypto income tax industry, Woodward said. First up is a U.K. debut next month or two followed by a smattering of other areas being international.

On the way, TaxBit will continue integrating its B2B pc software across more U.S. exchanges, though Woodward wouldn’t say those that.

Woodward even hinted a government partnership is approaching fast, cryptically citing the town of Miami’s bitcoin that is boldBTC, +0.79%) strategy.

“The basis for the top funding is because that’s the required steps to get and build a valuable asset, a platform, that may allow an asset course that is entire. Like, that’s how broad our mission is,” Woodward said.