Opinion
Will your losses to FTX be classified as capital losses or as a “theft loss” that involved a Ponzi scheme? Either way, you’ll probably win.
Justin Wilcox
The author is an independent contributor writing an opinion or expert take. Views expressed are the author’s own and may not reflect Cointelegraph’s editorial position. Justin Wilcox is a partner at the Connecticut accounting and advisory firm Fiondella, Milone & LaSaracina LLP (FML CPAs). He founded the firm’s cryptocurrency practice in 2018, providing tax and advisory services to Web3 organizations and crypto investors. He mines cryptocurrencies like DOGE and holds various cryptocurrencies and NFTs.
The outcome of SBF's prosecution could determine how the IRS treats your FTX losses - Opinion
Tax on income you never earned? It’s possible after Ethereum’s Merge IRS rules weren’t ready for the Ethereum upgrade. It’s unlikely to become the fiasco that taxpayers experienced when Bitcoin forked in 2017, but there are measures they can take to prepare for whatever the IRS decides.