How crypto donations are typically treated at tax time

Why donating crypto directly can be more efficient

In many jurisdictions, including the US, donating appreciated crypto you've held for more than a year directly to a qualified nonprofit means you don't pay capital gains tax on the appreciation — and you may still be able to deduct the full fair market value of the donation. Compare that to selling the crypto first: you'd owe capital gains tax on the sale, then donate what is left, meaning less reaches the cause and less is deductible.

What you'll need for your records

• The date and time of your donation.
• The fair market value of the asset at the time of the gift, in your local currency.
• A receipt from the receiving nonprofit — we email this automatically once your donation confirms on-chain.
• For larger gifts, your tax authority may require additional documentation (for example, a qualified appraisal above certain thresholds in the US) — check with a tax professional.

A simple example

Say you bought 1 ETH for $500 and it's now worth $3,200. Sell it first and you'd owe capital gains tax on the $2,700 gain before donating whatever remains. Donate the 1 ETH directly instead, and the nonprofit receives the full $3,200 in value, with no capital gains tax triggered on your end.

This isn't tax advice

Tax treatment of crypto donations varies by country, and rules change. Nothing on this page is personalized tax, legal, or financial advice. Please consult a qualified tax professional about your specific situation before making decisions based on expected tax outcomes.