The American Gemini exchange of the Winklevoss brothers introduces the TaxBit tool for calculating taxes resulting from cryptocurrency trading, and what is worth adding – working in real time.
TaxBit is joining forces with Gemini
The American cryptocurrency exchange Gemini is now cooperating with the TaxBit company that advises on tax regulations in the USA. Purpose of both entities? Helping the clients of the BTC trading platform calculate taxes on cryptocurrencies. It is precisely the TaxBit Tax Center Suite tool.
Tyler Winklevoss, CEO of the Gemini Exchange, said the TaxBit software would help reduce “The problem with the tax on cryptocurrencies”, enabling platform users to track the impact of tax in real time on their cryptocurrency transactions that occur on Gemini and investments in general According to the announcement, the tool will also allow investors to potentially increase tax returns and reduce their tax liabilities, providing them with the so-called commercial alerts.
The TaxBit Tax Center Suite solution is the first cryptocurrency tax tool of its kind that Gemini has ever implemented, Gemini spokesman told Cointelegraph. He added that the company now expects to integrate the TaxBit solution with the exchange in the first half of 2021 or even earlier. Currently, both companies are still waiting for the final guidelines of the Tax Office on how to report cryptocurrencies to the tax office.
When the software is fully deployed on the Gemini platform, US stock market customers will be able to download the tax report in the format required by the IRS, the US tax office.
Investment in a new company
It is worth adding that the Winklevoss brothers themselves invested in TaxBit at the beginning of this year. In January 2020, their family office that they use for this type of investment – Winklevoss Capital – took part in the 5 million TaxBit financing round.
However, the TaxBit platform was launched in January 2019, and today it supports over 2,000 currencies, according to its website.
The Winklevoss brothers, they say, expect the coming years to be a great time for BTC. They believe that a new bubble awaits us in this market.