Crypto tax software makes one part of reporting easier: it collects data and applies calculation rules at scale. But a wallet export is not a tax return, and a green “all transactions reviewed” indicator is not proof that the underlying history is complete.

The difficult work sits between raw records and filed forms. That middle layer is where transfers are matched, missing basis is reconstructed, DeFi activity is interpreted, broker statements are reconciled, and assumptions are documented.

Step one: build the full universe of records

The process starts with every exchange, wallet, blockchain, and protocol used during the year.

Centralized exchanges may provide CSV files or API connections. Self-custody activity may have to be collected from public addresses. NFT marketplaces, staking providers, and DeFi platforms can each require a different source.

The first goal is completeness. If an asset was acquired in one account and sold in another, both sides are necessary to calculate gain or loss.

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