Going to sell my crypto for usdc (thru Dex) then sell the usdc on a CEX for usd.

Using a crypto tax software for my gains.

I'll receive my 1099-DA from the exchange. Attach the csv report from the crypto tax software.

Done. Correct?

Mostly concerned on if I'm providing all of the information the right way when doing my taxes.

  • Yes this is actually a great approach, assuming the crypto to USDC sale is on a DEX. This is what I suggest for easy crypto reporting. Swap for stables in DeFi, then send the stables to CEX and swap for cash.

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  • Why not just sell directly to USD?

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  • Shehan from CoinTracker here.

    • 1099-DA - you will not receive one if the USDC sale was under 10K for the year.
    • Connect the CEX and DEX to a crypto tax software so you can capture all the gains/losses coming from these transactions.
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  • One thing to add: the 1099-DA doesn’t replace importing everything. You still need to pull in full CEX and DEX transaction history so cost basis is actually calculated correctly on your tax software

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