I work from the raw exports of the exchanges and from the blockchain data of the wallets and the DeFi contracts. My purpose-built software checks these records for inconsistencies, and where necessary I reconstruct and repair them. The software calculates the results as profits and losses for the tax filing. With my knowledge and my purpose-built software, I also handle complex cases such as derivatives on exchanges and on-chain trading.
The result is a complete set of forms and schedules, prepared for the rules of your jurisdiction, with every figure traceable to its source.
Client data is stored encrypted, and no third party has access to it. Once the contractual obligations are fulfilled, it is deleted.
An on-chain trader leaves a history spread across many wallets and DeFi smart contracts. Each transaction has to be understood for what it actually does, and that takes knowing how the contracts behind it work. The histories of all wallets are extracted and reconciled with the collateral pools, according to the chosen method and the jurisdiction. Deep knowledge of the DeFi protocols is necessary to calculate this correctly.
A derivatives trader runs leveraged positions in perpetuals, futures and options, usually across several exchanges. The funding and settlement mechanics of these instruments are complicated, and it has to be decided from case to case how the leveraged positions interact with the pools in which the collateral is stored. That decision is applied consistently across every position and every exchange. The result is a correct representation of every trade, from which the realized outcome follows.
An algorithmic trader runs many positions in parallel: long positions, hedged shorts, and spot holdings that serve as collateral. Every exchange records these trading events in its own way, and how the positions are separated into pools has to be decided from the mechanism of each instrument. Such cases cannot be fully handled by conventional software. Choosing the calculation method takes expert knowledge and experience with financial instruments. Only a correct representation of the trading transactions leads to correct profit-and-loss figures.
Representative engagements, generalized and with no client data.
I am not a tax advisor. My work is calculation, methodology, citations, and audit trail. Filing tax returns and representing you before the tax authority is tax advisor work, which is not included in my services.
