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Comparing the BEST Cryptocurrency tax software [Updated for 2020]

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Best Crypto tax software

Looking at the best cryptocurrency tax software

Last updated: March 2020 (Koinly has been added to the list)

Cryptocurrency based income is not tax-free. The court granted IRS authority to serve summons to Coinbase to gather its customer information for transactions that took place from 2013 to 2015. This was a John Doe summons which means – IRS does not have to identify specific customers, it only has to identify the conditions and Coinbase will have to dish out information related to customers who fit in that group.

The condition laid out in the summons indicates “with at least the equivalent of $20,000 in any one transaction type (buy, sell, send, or receive) in any one year during the 2013—2015 period”.

A Cryptocurrency tax software will help you manage and file your taxes thus reducing your burden. Before we get on with our Best Cryptocurrency Tax Software picks for 2020, let’s quickly examine all the things that took place in 2019 (and we haven’t even finished the year yet).

All these developments indicate one thing:  taxpayers with cryptocurrency transactions can no longer hide under a rock and hope for the best. YOU NEED TO PAY CRYPTO TAXES. A crypto tax software will help you streamline your taxes and file them.

All of these transactions trigger a taxable event

Many taxpayers who have received the IRS tax letter were surprised. Taxpayers who assumed that crypto to crypto transactions were outside the purview of the IRS capital gains tax were among those who were served these letters.    

All of the below transactions trigger a tax event:

  • Selling or exchanging cryptocurrency for another cryptocurrency (or for FIAT)
  • Buying goods or services using cryptocurrency
  • Cryptocurrency received through a hard fork creates a tax event
  • Cryptocurrency received through airdrops creates a tax event
  • Receiving wages in cryptocurrency is a taxable event
  • Receiving rental income, royalties, tips, commissions, or any type of income received in cryptocurrency is a taxable event
  • Any exchange of value using cryptocurrency instead of fiat creates same taxable event as if fiat was used

Do you need a cryptocurrency software?

do we need to pay crypto taxesIf all of your cryptocurrency transactions were in one or two exchanges, like Coinbase, that provides clean tax documents with all your transactions, then you may not need a crypto tax software.

However, trouble creeps in when you have:

  • transactions over multiple exchanges
  • movement of crypto funds from one exchange to another
  • received hard forks
  • traded extensively in cryptocurrencies during the year
  • moved funds from wallet to exchange or vice-versa 

We have observed that whenever you have transactions in more than one crypto exchange, it is a big time saver to use crypto tax software.

Problem with the information available on exchanges

Even those who want to be compliant face a bigger issue. How does one track 100s (and in some cases 10s of 1000s) of transactions without losing their mind?

Few exchanges, like Binance, do not show history beyond 90 days, few do not let you download information in any meaningful format, some do not comply with tax rules, some do not capture transaction fees and each exchange has some or other limitation.

How do you track your transactions in the midst of these hurdles?

Thankfully, there are many crypto tax software solutions available in the market that address these issues. Before we compare them side-by-side, let us look at different features that you need to look at before picking the right tax software that fits your needs.

Also Read:

Every US taxpayer in Crypto should be aware of what’s unfolding

All you need to know about the Crypto Taxes in 2019

Top 5 Best Practices for Filing Crypto tax Returns 

Key attributes to look for in your cryptocurrency tax software

For the purpose of our comparison, we will be looking at the following aspects for each crypto tax software and then we will compare them against each other.

  • Exchanges supported and wallet imports: If you have dealt with multiple exchanges and wallets during the year, you want to make sure that the crypto tax software that you pick has the best coverage, even if this means you have to shell out a few extra $$s.  Trust us, from our own experience we can say, it is worth the peace knowing that the software does the job for you.
  • Tax computation methods: First In First Out (FIFO) or Last In First Out (LIFO) are the most popular tax methods in the US with FIFO considered most conservative.  There is also another option to identify specific coins for specific transactions but that requires meticulous documentation. Most crypto tax softwares support FIFO and LIFO along with other methods that may be used by other countries.   Make sure you consult a tax professional to ensure you are picking the right tax method for you and the one that is allowed by the tax authorities.
  • Tax forms support:  The IRS requires taxpayers to differentiate between their short-term and long term capital gains. These are reported on different sections of the Form 8949. Crypto tax software that can sort the information on the proper forms is the one you want to use. Also, some crypto tax software facilitate the direct import of these transactions to tax platforms like TurboTax.  
  • Pricing options: Bear market has killed a million dreams in the crypto space. Last thing people want is to shell out too much dough on buying a tax software. However, as much as it is important to keep track of your gains, it is equally important to keep track of your losses so you can offset them on a future gain. Best crypto tax software for your situation will depend on how many exchanges you have used, number of transactions, losses you have incurred during the year, scams you have endured and many such factors. 
  • FBAR support:  The US Treasury has confirmed that foreign cryptocurrency exchanges need not be disclosed under the Foreign Bank Account Reporting (FBAR) regulations on FinCEN Form 114.  However, there is a catch regarding having transferred any fiat during the calendar year to any foreign crypto exchange that could trigger a FBAR filing requirement.
  • Customer support:  You also want to pick the crypto tax software that responds to your needs in case you run into any trouble. 

Having looked at the key attributes, let’s look at popular crypto tax softwares on the market:

Following review is an opinion. We presented the criteria that we would personally look for in a crypto tax software based on our needs. Your needs may be different. We have not used all of these software, and where applicable, we have formed opinions based on information available publicly. We may be compensated for the referral links, no other financial arrangement exist between these companies and us.

Cointracking.info

Cointracking for crypto taxIn our opinion, Cointracking continues to be one of the most popular crypto tax software. It offers most number of tax computation methods in the market.  It can get easily overwhelming to see the number of options available, however, not all options are relevant to the US and being a global crypto tax software tool – making these options available is important for other jurisdictions.  

From a mere updates and staying ahead perspective, Cointracking has no rival in our opinion.  For instance, Cointracking already has the ability to support Binance US, supports Kraken’s credit transactions, and much more.  However most taxpayers may not need as savvy a product as Cointracking if they only dealt with one or two exchanges and have few transactions. 

Exchanges supported and wallet imports: Cointracking probably has one of the most comprehensive list of exchanges and wallet imports. It supports almost all exchanges and wallets, including hard wallet imports from Trezor.

Tax Computation methods: Cointracking supports FIFO, LIFO, Adjusted Cost base (Canada), HMRC (UK only) along with eight other methods, totalling to 12 methods. For US tax purposes, the most common methods used are FIFO and LIFO.

Tax Forms support: Cointracking generates multiple tax reports for you to use depending on your need, including, 8949 PDF, 8949 CSV download, excel & PDF download of transactions itself, etc., In addition, Cointracking has direct export option to export data to TaxACT, TurboTax and Drake tax software.

Pricing options: Cointracking offers multiple price options depending on your needs. For instance, if you have less than 200 transactions, you can use their FREE option.  If you have less than 3500 transactions, their PRO version that costs $118 for 1 year, $201 for 2 years and $369 for lifetime.  For traders with transactions exceeding 3500, an unlimited version is available that costs: $251 for 1 year, $402 for 2 years and $2837 for lifetime;  Most unique feature about Cointracking is that you can pay the fees with 50 different altcoins in addition to PayPal, credit cards, wire transfers, etc.,  Users who pay the fees using Bitcoin receive a 5% discount (talk about facilitating adoption!).

Cointracking.info   
PlanDurationTransactions SupportedCost in USD*
Pro1 Year3500$118
Pro2 Years3500$201
ProLifetime3500$369
Unlimited1 YearUnlimited$251
Unlimited2 YearsUnlimited$402
UnlimitedLifetimeUnlimited$2837

*As of October, 2019

FBAR support: Cointracking does not offer FBAR support. However, if you have never transferred FIAT into a non-US crypto exchange, you may not have an FBAR reporting requirement, as clarified by the FinCEN

Customer support: You can quickly raise a support ticket on Cointracking portal.  We are not sure how we feel about the customer support with Cointracking.  They don’t list a phone number and since its a ‘reporting’ tool, there is no real need for an ‘emergency’ line, so it may not be a big deal in our opinion. Rating: OK.

  • Lifetime plans make this unique offering
  • Price options that fit most needs
  • Comprehensive solution
  • Multiple tax calculation methods that meet multiple jurisdiction requirements

  • No FBAR support
  • Customer support connectivity is not as good as other platforms

Also Read: How to use Cointracking to calculate your crypto taxes – A Complete guide for beginners

CryptoTrader.Tax

Cryptotrader taxCryptoTrader is our new favorite only next to Cointracking. Their import functionality is simple and the system is built carefully with customer experience in mind.  System walks you through the simple 6 step process to help you import data from various exchanges.

CryptoTrader also publishes guides on various aspects of cryptocurrency taxes.

Their customer care is amazing. They check in on you after you sign up and take your feedback seriously.

One of the unique features of CryptoTrader is that it helps you go back to previous tax years to pull information if you are looking to amend your previous year tax returns to report crypto transactions.

We had the unique opportunity to talk to David Kemmerer, CEO of CryptoTrader.Tax, about their platform.  In his own words, CryptoTrader.Tax is simply the most accurate crypto tax calculator on the market. This is a direct result of the years that we’ve spent developing our historical pricing engine. It puts us far ahead of the competition, and our users notice.” 

If we were to choose between Cointracking and CryptoTrader for customer support alone – we would pick CryptoTrader. And if you have less than 1500 transactions during the year – CryptoTrader is a clear winner from the price point, in our opinion.

  • Exchanges supported and wallet imports: CryptoTrader supports a lot of exchanges and where a crypto exchange is not supported, they allow CSV imports, so you are covered even if a direct API import is not available. They support over 35 leading Exchanges (and for the exchanges that they do not have native support, you can manually upload the CSV template) and almost all wallets.
  • Tax computation methods: They support LIFO and FIFO methodology. They also support Adjusted Basis method for Canada taxpayers.
  • Tax forms support: CryptoTrader supports 8949 functionality for the US taxpayers and it also has TurboTax Integration on all its plans.  1 year money-back guarantee they offer shows the confidence they have in their product.
  • Pricing options: From a price point of view, Cointracking and CryptoTrader are in similar ball park when it comes to its Unlimited transactions plan.  For taxpayers with less than 1500 transactions, CryptoTrader is a no-brainer, in our opinion.

Cryptotrader.tax   
PlanDurationTransactions SupportedCost in USD*
Hobbyist1 Tax Year100$49
Pro Trader1 Tax Year1500$99
High Volume Trader1 Tax Year5000$199
Unlimited1 Tax YearUnlimited$299

*As of October, 2019

  • FBAR support: CryptoTrader does not offer FBAR support. However, if you have never transferred FIAT into a non-US crypto exchange, you may not have an FBAR reporting requirement, as clarified by the FinCEN.
  • Customer support:  The team responds to questions quickly.  They even check-in to see how you are doing during the early days of subscription.  Messages on the chat window on their website get answered in under 5 minutes (we tested this on a weekend, and still got a response). Rating: Excellent.

  • Excellent customer care
  • Simple to use solution
  • Their unlimited pricing option is on par with CoinTracking.info
  • 1 year money back guarantee

  • No FBAR support
  • Not as comprehensive Exchange API list as other solutions

Cointracker.io

Cointracker for crypto taxesOver 10 BILLION in transaction volume has been tracked on Cointracker. They boast a massive $200 Million losses claimed through their platform. 

Unlike other tools on this list, Cointracker made it easy to access the data from the exchanges. We tried to connect Coinbase account and instead of asking for API and other complex process, it simply asked us to login to Coinbase account and that’s it. Definitely easier way to connect exchanges to the account.

Cointracker also provides PREVIEW TAX IMPACT feature where you can check the tax impact before you execute a transaction.  

They are working on integration of non-crypto accounts to the platform and provides tax loss harvesting and dollar cost averaging features.

  • Exchanges supported and wallet importsCointracker helps you sync with over 300 exchanges and supports many wallets including hard wallets like Trezor and Ledger. Cointracker supports over 2500 cryptocurrencies. When we tried to connect Coinbase.
  • Tax computation methods: Cointracker offers FIFO, LIFO, HIFO, Adjusted Cost Basis, Share pool methods to calculate capital gains.
  • Tax forms support: Cointracker supports Form 8949 reporting as well Sch D. In addition, TaxAct and TurboTax exports are available as well. 
  • Pricing options: Pricing ranges from $49 to $999. They do not have an unlimited plan.

Cointracker.io   
PlanDurationTransactions SupportedCost in USD*
Hobbyist1 Tax Year100$49
Trader1 Tax Year1500$199
Pro1 Tax Year5000$499
Satoshi1 Tax Year15000$999

*As of October, 2019

  • FBAR support: Cointracker offers FBAR/FATCA support.
  • Customer support:  They have a chat widget on their portal and promise to respond within a day.  We did not find a direct customer care line on the main site or inside the login area. Rating: OK.

  • Experience of over 10 Billion in transaction volume
  • Over 300 exchanges supported

  • No immediate customer support
  • Pricing options are bit expensive, in our opinion

Bitcoin.Tax

Bitcoin taxBitcoin Tax is what big things come in small packages.  It is a simple, almost archaic, interface. Offers affordable pricing options for individuals with simple transactions.

  • Exchanges supported and wallet imports: Bitcoin.Tax offers support for over 20 exchanges, with the option of uploading data from any exchange using a CSV format.
  • Tax computation methods: Bitcoin.Tax offers FIFO, LIFO, average cost methods to calculate capital gains.
  • Tax forms support: Forms 8949, 8824 are supported in addition to direct import to TurboTax and TaxAct.

Pricing options: For individuals, price starts at $29.95 and for traders price starts at $99.

Bitcoin.tax   
PlanDurationTransactions SupportedCost in USD*
Individual1 Tax Year10,000$29 to $49
Trader1 Tax Year1,000,000$99 to $399

*as of October 2019

  • FBAR support: No FBAR support on the platform.
  • Customer support:  Bitcoin.Tax has FAQs listed on their website and if the question you are looking for is not answered, they give you an option to email them which they revert back within 2 business days.

  •  Simple interface
  •  Great option for people with fewer transactions
  •  Budget solution

  •  Heavy reliance on CSV imports
  •  Customer care is not one of the best (compared to others on this list), in our opinion.

Koinly.io

Koinly Tax SoftwarePerfect for new and experienced investors alike, Koinly offers extensive support without complicating the reporting process. Offering coverage in over 20 countries, support for thousands of listed cryptocurrencies, and portfolio tracking capabilities, Koinly is one of the best crypto tax tools to turn to when tax season rolls around and you need to get your taxes done quickly and efficiently.

Exchanges supported and wallet imports: No matter which cryptocurrencies you deal with or exchanges you use, Koinly has you covered. With support for over 300 exchanges, 10 blockchains, and over 6,000 cryptocurrency assets (not to mention the ability to easily import data through API keys, public keys, and CSV files), there’s nothing stopping you from reporting. The platform even supports margin trading!

Tax Computation methods: As stated on their website, Koinly supports all countries that utilize FIFO, LIFO, and Average Cost accounting methods. They also offer support for countries that aren’t listed directly on their website (although users will have to contact them directly to learn more about coverage in their country). 

Tax Forms support: Koinly offers downloads for Form 8949, Schedule D, K4, and FBAR, with the website suggesting that they offer more forms than those listed publicly. Additionally, Koinly supports exports to major tax software providers like TurboTax, TaxAct, and Xero. 

Pricing options: Koinly has three main pricing structures (with the ability to create a custom solution if need be). The first is the Hodler plan, which costs $79 per year and allows individuals to import up to 300 transactions and receive the basic features of the platform (income and capital gains report, tax report for any year, all exchanges and wallets import capabilities, etc.). The second is the Trader plan, which costs $179 per year, offers support for up to 3,000 transactions, and includes priority support. The final plan listed on their website is the Oracle plan, which costs $399 per year, offers support for up to 10,000 transactions, and review and import assistance as well as early access to new features. It’s important to note that Koinly is free until you need to download your report. After which, you will purchase one of the plans listed above.

Koinly.io   
PlanDurationTransactions SupportedCost in USD*
Oracle1 Year10,000$399
Trader1 Year3,000$179
Hodler1 Year300$79

*As of February 2020

FBAR support: As we stated in the “Tax Forms support” section, Koinly offers FBAR support, amongst other forms of support that you may not see on similar tax platforms.

Customer support: Koinly offers two contact methods: live chat and email. Both are sufficient given the fact that their tool is simple to use and that users who purchase the two most expensive plans receive priority support and other forms of assistance. Overall, customer support leaves little to be desired. 

  • Margin and futures support for Binance, Bitfinex and others
  • Affordable plans for all kinds of users (with the option for custom plan building)
  • Extensive coverage across hundreds of countries
  • Easy import for thousands of assets and hundreds of exchanges
  • Comprehensive tax preparation for multiple jurisdictions
  • Easy to use platform with portfolio tracking capabilities
  • Free trial until you download your forms

  • Koinly doesn’t support Uniswap and Kyber transactions atm so you have to do some manual work to get these in correctly. The team did assure us that this will be added in 2020.

TokenTax.co

Tokentax for cryptocurrencyTokenTax offers a crypto only as well as fully assisted service models.  Within the fully supported service model, users can take the help of the tax accountants who can help with tax returns including crypto transactions.

Exchanges supported and wallet imports: Token Tax boasts support to a massive list (over 260) of crypto exchanges and where an API is not supported, they have the CSV upload option.

Tax computation methods: According to this demo video, TokenTax supports 4 types of tax methods: FIFO, LIFO, Minimization and Average Cost.

Tax forms support: Form 8949 is supported and Direct export to TurboTax is available as well.

Pricing options: Price depends on whether you choose a self serve model or CPA assisted model.  The price range starts from $65 and goes up to $1999. The gold option includes IRS audit assistance.

Tokentax.co   
PlanDurationTransactions SupportedCost in USD*
Basic1 Tax Year500$65
Premium1 Tax Year3000$199
VIP (CPA Assisted)1 Tax Year20000$1499
Bronze
(Full tax filing)
1 Tax Year3000$499
Silver
(Full tax filing)
1 Tax Year3000$999
Gold
(Full tax filing)
1 Tax Year20000$1999

*as of October 2019

  • FBAR support: TokenTax offers FBAR assistance, for the basic and premium plans there is an additional charge of $50, other plans carry unlimited FBAR support.
  • Customer support:  Probably the only site that actually lists a phone number on the website and their chat boasts to answer messages in under 5 minutes. Rating: Excellent.

  • CPA assistance available
  • IRS audit assistance in premium plans
  • Customer care that includes chat and phone options

  • Pricing options are bit expensive, in our opinion
  • No unlimited transaction plans

ZenLedger.io

zenledger for cryptotaxDemand for ZenLedger has soared compared to last year. Teeka Tiwari, one of the most popular figures in the crypto space, recommended ZenLedger to his followers. That may have something to do with the shift in price tiers at ZenLedger.

The tool offers a full range of support from audit report to calculating crypto income to mining/donation capture, ICO/Airdrops support, Tax Loss Harvesting (tracking losses in crypto and offsetting them against regular stock trades, and loss carry forward).

ZenLedger also supports FinCEN/FBAR alert.

Exchanges supported and wallet imports: ZenLedger has focused on US taxpayers from the get go.  Their list of exchanges may not be as impressive as Cointracking or TokenTax but most taxpayers do not deal with as many exchanges, and ZenLedger does cover major ones.  For the ones that they don’t cover, they offer CSV upload.

Tax computation methods: FIFO and LIFO are the methods that are available, however, they may consider adding specific identification once the rules are clarified by the IRS.

Tax forms support: Zenledger offers 8948, Sch D and FBAR/FinCEN support through their platform.

Pricing options: ZenLedger has picked up a lot of buzz.  This becomes evident from their change in fees structure.  Last year, they had 3 pricing plans and one of them was FREE.  They no longer offer free plan and now have 4 tiers.

Zenledger.io   
PlanDurationTransactions SupportedCost in USD*
Starter1 Tax Year500 

($50K total asset value)
$149
Premium1 Tax Year1000

($300K total asset value)
$399
Executive1 Tax Year4000 

($1M total asset value)
$799
Unlimited1 Tax YearUnlimited$999
 

  • FBAR support:  ZenLedger was among the first ones to provide FBAR/FinCEN alerts. They continue to support the FinCEN alerts in their tool.
  • Customer support:  Like TokenTax, ZenLedger has chat option that promises to reply in under 5 minutes.  We tested this and Pat Larsen, CEO, answered our question on the chat.  They don’t have a customer support number but there is an email to reach out to the team. Rating: Excellent.

  • ICO/Airdrop Assistance and Tax Loss harvesting features
  • US focused
  • Easy to reach customer support

  • Limits on number of transactions and asset value

Which crypto tax software to pick based on price?

In our opinion, if price and value is a factor – then Cointracking.info and CryptoTrader.tax emerge as clear choices. 

Under 200 transactions CoinTracking at $0

Upto 3500 transactions: CoinTracking at $118 for 1 year ($369 for lifetime)

Unlimited transactions: CoinTracking at $251 for 1 year ($2837 for lifetime) 

Unlimited Transactions, excellent customer care and competitive pricing: CryptoTrader.Tax at $299

Which crypto tax software to pick based on complexity & price?

COMPLEX: Taxpayers with multiple exchanges, wallets, and numerous transactions

In our opinion, Cointracking.info and CryptoTrader.Tax still come up at the top purely based on the cost and the tool efficiency. However, TokenTax.co jumps the ranks because of the extensive exchange list and ease of use, not to mention the customer support.  

If you dealt with way too many exchanges that are not supported by Cointracking.info or Cryptotrader.tax, the closest best is TokenTax.co in our opinion.

Also read: How to pick right Crypto Tax advisor to help you.

Please consider using the referral links in this article to avail these discounts:

Cointracking Referral gives you 10% Discount and 5% more if you pay with bitcoin.

Cointracker Referral gives you 10$ Discount

Cryptotrader.tax Referral gives you 10% Discount

Zenledger: Referral gives you 10% Discount

Tokentax: use cryptotapas exclusive discount code “CRYPTOTAPAS” for 10% Discount.

Koinly referral.

Frequently Asked Questions

Q: The solutions at the top of your list do not support FBAR while others do, why then have you ranked them so high?

A: FinCEN recently stated that they are working on the reporting requirements on FBAR for cryptocurrency and in the interim stated crypto exchanges may fall outside the purview of FBAR reporting with one exception: FBAR reporting requirement, as clarified by the FinCEN. FBAR reporting on its own falls outside the income tax return filing process, and this is the reason – we have not slashed the ranking of some of the solutions on this list. 

Q: Have you focused heavily on pricing in assigning these ranks?

A: Yes, because that is what is important for us and so we did consider that as one of the main factors, however, it is not the sole factor as you can see in the review above.

Q: Do you have financial incentive behind these rankings?

A: Where available, we have used the referral links. In most cases, referral links offer discounts to the users which are otherwise not available if you were to visit these platforms directly.  Referral rewards are public information and we do not have any other incentives outside of referral rewards.
Q: Should I rely on your rankings?
A: No. These rankings are based on what is important for us and our opinion of it.  What is important for us may not be as important for you. For example, if you are an American Trader who has multiple foreign exchanges where you have transferred fiat – in that case, FBAR and FATCA reporting may be of utmost importance to you and our number 1 recommendation may or may not suit your needs.  Please consult a professional for your specific needs.

IMPORTANT DISCLAIMER

Everything in this article is an opinion, not an advice of any kind. This material has been prepared for general informational purposes only and it is not intended to be relied upon as accounting, tax, investment, legal or other professional advice. Please consult with a professional for specific advice.

We do not endorse or guarantee the accuracy of the information and claims made.

All product and company names are trademarks™ or registered® trademarks of their respective holders. Use of them does not imply any affiliation with or endorsement by them.

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CryptoSpace

Transforming Data Center Infrastructure With Blockchain

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Blockchain Infrastructure

Cryptocurrency – just hearing the name – can spark discussion topics on how innovative and controversial it is. However, nowadays, there seems to be a consensus that blockchain – the technological backbone of every form of cryptocurrency – is the former. The latter part of the discussion comes from the fact that cryptocurrency is still new, and needs more improvement, before it can actually be considered a wildly-accepted type of commercial (public) currency.

On the bright side, companies like Google and Goldman Sachs have already started to invest in various blockchain firms. And, it’s expected that sometime in the future, more big-name companies will follow suit, if cryptocurrency succeeds. Therefore, data centers and cloud hosting services must be ready to serve these new blockchain-based companies, as well as their needs, in the coming years.

So, you may be wondering: How did we get here? 

How Did It Start?

Modern blockchain started in 2008 with Bitcoin, which is a peer-to-peer Electronic Cash System. This white paper was a form of cryptocurrency that could live on a distributed network without any centralized authority; and blockchain is the technical backbone of that system, or a distributed digital ledger or database for it. No central authority will be able to manipulate the blockchain, since the whole network contributes to its creation and maintenance.

How It Works

In blockchain, two parties will make a transaction, to which they advertise it to the network. Then, various network nodes pick up multiple transactions, and arrange them into blocks. Afterwards, miners will use computers to add this block to the ledger (or blockchain).

Now, in order to add these blocks to the blockchain, the task requires a lot of computing power. Why? Because each of these blocks come with a sort of attached mathematical puzzle. And, to solve these puzzles, they need computing resources. But don’t worry: these puzzles are what miners are interested in, because they’re usually rewarded with tokens, just for adding a block to the blockchain.

Before the existence of blockchain though, business transaction would’ve been made through a trusted third-party company (i.e. a bank or a government institution), in order to guarantee the integrity of a transaction between two parties. However, blockchain eliminates that need by opening up the possibility for business transactions between parties worldwide, without the need for any financial or government institutions to step in. 

What Blockchain Means For GPUs

The need for blockchain means elevated demand for graphical processing units (or GPUs). As blockchain calculates, miners will have to provide enough computing power for it. And, as cryptocurrencies and blockchain-based applications become more popular, the higher the demand for computing power. That’s where GPUs come in, since blockchain-based calculations are best performed on these units. 

Data centers and cloud-hosting services will also have to look into AMD and NVIDIA graphics cards, in order to better serve the blockchain market; however, these graphics cards can be pricey. And, they’ll have to better optimize their infrastructure to be GPU-compatible.

Concerns?

The most controversy that cryptocurrency has faced is its vulnerability to possible hacking schemes. One can argue that there are major concerns about blockchain hackers taking – or planning to take – advantage of the fact that cryptocurrency doesn’t have enough protection yet to sustain itself, in case of a security breach that can cost millions.

Concerns on cybersecurity for data centers, in that case, seems to have spawned from cryptocurrency market’s promise of immense riches and overnight successes, to where anyone – including bad actors and hackers – will create an ever-growing threat in the cyber realm.

“One example of hacking of cryptocurrency was in January of 2018, when hackers were able to steal more than $500 million (or £380 million) worth of cryptocurrency from the Tokyo-based cryptocurrency exchange Coincheck,” adds Barnard. “Thus, that story, to this day, serves as a warning to what can happen, if cryptocurrency is unchecked. And, this story has many people concerned about whether cryptocurrency is safe to invest in or not.”

Conclusion

As you can see, data centers will have to go above and beyond to better accommodate the growing trend of cryptocurrency. And, to do so, they’ll need a good functioning digital infrastructure, to handle blockchain systems and increasing data processing demands.

This need for the right data center infrastructure is also increasing, since blockchain is expected to greatly impact the following:

  • Finance
  • Healthcare
  • Government
  • Transportation
  • Manufacturing
  • Medicine
  • Logistics
  • Other various industries 

Thus, it’s absolutely necessary for data center service providers to stay competitive, when it comes to such changes in technology, including blockchain. Ultimately, with an up-to-date infrastructure for blockchain to work on, data centers will be able to be sustainable, regardless of any changes and or developments made in the tech world for many years to come.

Author’s Bio: Katherine Rundell is a writer and editor at UK Writings and Academized. In her spare time, she likes to travel to different states, give special talks in various business training courses, read her favorite books (ranging in different genres).

Thank you for reading and sharing this article. We appreciate you.

Stay safe and healthy!

Top 5 Cryptocurrencies 2020

IMPORTANT DISCLAIMER

Everything in this article is an opinion, not an advice of any kind. This material has been prepared for general informational purposes only and it is not intended to be relied upon as accounting, tax, investment, legal or other professional advice. Please consult with a professional for specific advice.

We do not endorse or guarantee the accuracy of the information and claims made.

All product and company names are trademarks™ or registered® trademarks of their respective holders. Use of them does not imply any affiliation with or endorsement by them.

 

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CryptoSpace

5 Best Crypto Movies To Learn Crypto From

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Crypto Movies

Bitcoin has been around for 10 years. As a result, there are many people who will keep tabs on it and cheer for its modern successes. So today, we want to celebrate along with crypto fans by bringing you a fun article about the topic.

If you thought that cryptocurrency is all business, business, business – well, in actuality, crypto has also made its way into cinema. Yes, in this article, we’ll show you the 5 best movies that involve Bitcoin, crypto, and blockchain. And, the good news is, you don’t have to read really long articles that talk about crypto, when you can watch a fun movie instead!

So if you want to gain a bigger understanding on what Bitcoin is, and why it’s so important in today’s world… or if you want to educate others on why Bitcoin is NOT something out of a science fiction movie (no pun intended), then check out these 5 great movies.

Cryptopia: Bitcoin, Blockchains And The Future Of The Internet (2020)

Cryptopia Bitcoin Blockchains and the Future of the InternetCryptopia is an ideal film for novice cryptocurrency people. So, if you’re a newbie in the crypto world, or want to brush up on your crypto skills, then check out this documentary. 

This film is a deep-dive into the crypto world, and it doesn’t shy away from explaining the good things about crypto, as well as the negative parts of it. Yes, crypto can be both a Godsend and a curse, depending on how you look at the narratives you’ll listen you in the documentary. In hindsight, the movie will explore the story of bitcoin, and how it has managed to evolve through the years with its ongoing promises that crypto is “the future.”

So, whether you’re a skeptic, or you want to learn more about crypto, you’ll get to see both sides of the debate – as a better alternative to regular currency in the future, or a financial disaster in the making. Either way, this documentary will answer any questions that you might have about crypto.

The Rise And Rise Of Bitcoin (2014)

The Rise and Rise of BitcoinEver wondered how cryptocurrency became a thing? Then check out The Rise and Rise of Bitcoin! The film covers the stories of some of the early adopters of Bitcoin, including Gavin Andresen who was famous for communicating directly with Satoshi Nakamoto to help him create better technology. (By the way, Nakamoto is mostly famous for authoring the Bitcoin white paper, and for devising the first blockchain database.

Overall, this movie was one of the major productions to cover the main points, in regards to how Bitcoin and its assets were created to begin with.

The Second Target (2019)

The Second TargetThe Second Target was written by Graham Holliday, and stars Athen Walton. The movie follows a group of local crypto thieves now having their eyes set on their latest target. They kidnap a detective they think is on their case, but end up kidnapping the wrong guy. To make matters worse, the son of the kidnapped man teams up with a stranger, and they plot to stop the thieves’ second heist and save the kidnapped man.

While you’ll be immersed in the action, you’ll be learning the basics of what crypto is.

Trust Machine: The Story Of Blockchain (2018)

Trust Machine understands that almost a decade has passed, since the crypto world has transformed things. Since its existence came to be, many different cryptocurrencies have been created, with a small percentage of them expected to stand the test of time after the dust settles. While some people are still skeptical about the concept of cryptocurrencies, there are some parts of the world where people actually use cryptocurrencies as a way to buy things. However, other places have faced significant problems, as a result of exchanging goods with crypto within the industry.

Crypto (2019)

Crypto MovieCrypto, despite its panning from critics, has garnered somewhat of a fanbase. With a stellar star cast like Alexis Bledel, Luke Hemsworth, and Jeremie Harris, it’s hard to not see this movie. And, with a thriving fanbase, this movie is not only for movie fans, but also for crypto fans. 

The story follows an anti-money laundering agent (Beau Knaff) who reunites with an old friend who’s now into mining cryptocurrency. Now, with a potato farm being on the verge of being repossessed, the two soon investigate a gallery, which may be tied into a multi-million-dollar money laundering scheme. 

It’s action-packed, and it has you cheering for the protagonists as you follow the story from beginning to end.

BONUS: Throwback Movie – Inside Job (2010)

Now, while the film doesn’t directly involve Bitcoin or blockchain, it’s a good appetizer for learning what they are. And, it’s a must-watch!

Inside Job covers the actions that made Bitcoin a household name in the first place. The movie sells the concept as a type of currency that can’t be manipulated, controlled, or corrupted by any government. 

However, the main topic of the documentary involves the late-2000s financial crisis. In 5 parts, the film will cover how changes in the policy environment and banking practices only added more fuel to the fire, rather than stop the crisis in its tracks. 

Critically acclaimed, and winning an Academy Award for Best Documentary, Inside Job will have you on the edge of your seat, as it takes you through the financial crash. All information in this documentary, as well as its controversial topic, are understandable for most audiences, regardless if you know about cryptocurrency or not. 

Conclusion

So, there you have it! That was our list of movies to check out, if you’re in the mood for learning about cryptocurrency. If you want to go down the rabbit hole about the topic, or if you’re in the mood for something different than your usual shows and movies, then head over to Netflix, online, or anywhere where movies are sold, and check out our picks on the best movies about crypto.

We hoped you enjoyed our list, and made it a movie night tonight! As you’ll see in these selected films, they’ll show you how cryptocurrency has changed people’s lives in so many ways than one, and has no plans of stopping. So, get out your popcorn, and take some good notes about crypto! 

Author Bio:

Kristin Herman is a writer and editor at Best essay writers. As a marketing writer, she blogs about the latest trends in digital marketing. In her spare time, she coaches up-and-coming marketers on how to perfect their advertising practices in the ever-evolving market.

For movie crypto movies: Crypto Movie Database

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Top 5 Cryptocurrencies 2020

IMPORTANT DISCLAIMER

Everything in this article is an opinion, not an advice of any kind. This material has been prepared for general informational purposes only and it is not intended to be relied upon as accounting, tax, investment, legal or other professional advice. Please consult with a professional for specific advice.

We do not endorse or guarantee the accuracy of the information and claims made.

All product and company names are trademarks™ or registered® trademarks of their respective holders. Use of them does not imply any affiliation with or endorsement by them.

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Cryptocurrency news

Bitcoin hits a new all-time high.

Bitcoin just hit a new all-time high, surpassing the last all-time high of $19,783.21 on Dec. 18, 2017.

According to coingecko Bitcoin hit $19,860 on Nov 30, 2020.


Bitcoin’s attracts Mainstream media

As bitcoin hits its new all-time high, the mainstream media, The New York Times steps forward to cover the news and calls this time the rise is very less of a bubble this time around.


Bitfinex hackers move 5000 BTC in the midst of new highs

The hackers of Bitfinex who stole 119,756 BTC back in August 2016 have just moved 5045 BTC, worth $97 Million, to various addresses as the bitcoin prices reach all-time high since 2017.

A total of 14 transactions were sent as caught by btcparser.com


Venezuelan army turns to Bitcoin mining operations to overcome the country’s failing economy.

“Digital Assets Production Center of the Bolivarian Army of Venezuela” was inaugurated by the Venezuelan army.


No power supply to crypto miners in Yunnan province.

According to the Chinese crypto reporter Colin Wu, most of the miners have reported  that the authorities have passed the orders to shut the power being supplied to the Crypto Miners in Yunnan, which happens to be the third largest mining province in china.


Winklevoss twins on CNBC said that bitcoin is Gold 2.0, and it could disrupt gold.  When BTC reaches Gold’s market cap of $9 trillion each BTC will be worth $500,000.


Michael Sonnenshein, managing partner at Grayscale, says many public companies are adding bitcoin to their balance sheet.

Thank you for reading and sharing this article. We appreciate you.

Stay safe and healthy!

Top 5 Cryptocurrencies 2020

IMPORTANT DISCLAIMER

Everything in this article is an opinion, not an advice of any kind. This material has been prepared for general informational purposes only and it is not intended to be relied upon as accounting, tax, investment, legal or other professional advice. Please consult with a professional for specific advice.

We do not endorse or guarantee the accuracy of the information and claims made.

All product and company names are trademarks™ or registered® trademarks of their respective holders. Use of them does not imply any affiliation with or endorsement by them.

Continue Reading

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