Digital Currency and Blockchain Technology

The IRS is tightening its focus on digital assets through new Form 1099-DA requirements and stricter reporting rules, making accurate cryptocurrency tax reporting a compliance requirement, not an option. Whether you are a long-term holder, an active trader, or a DeFi participant, Withum helps you maintain precise cost basis tracking, stay current with IRS guidance and structure your tax position to reduce unnecessary liability.

Many crypto companies are caught off guard by first-time audit failures tied to incomplete control documentation. A System and Organization Controls (SOC) Report gives your organization a clear picture of its internal controls and the risks associated with financial and operational access to systems and data. Withum’s SOC Services Team guides you through the process from assessment to report, helping you meet digital asset compliance requirements and satisfy the SOC reporting expectations of institutional investors and enterprise partners.

A financial statement audit is often the first major credibility test for a digital asset company and the preparation matters as much as the engagement itself. Withum works with accounting and finance leaders at crypto-native companies to get the groundwork right, covering internal controls documentation, ASC 350 and ASC 820 accounting treatment and reconciliation of complex transaction histories. When the audit, review, or compilation begins, our digital asset audit team moves efficiently to ensure compliance leveraging a new kind of audit evidence with a collaboration utilizing standard ERP activity, crypto-subledger reconciliations and on-chain transactions to streamline the audit process.

Crypto taxes are one of the most complex areas of the U.S. tax code and the rules keep changing. Withum’s crypto CPAs stay current with IRS and state guidance so you don’t have to. We help clients reduce cryptocurrency tax liability through smart entity structuring, international tax planning and R&D tax credits for blockchain development. For high-net-worth individuals with significant digital asset exposure, we also advise on estate and gifting strategies.

Withum helps you launch and manage your digital asset fund with the structure and documentation investors and regulators expect. We advise hedge funds, private equity and venture capital funds on entity setup, valuation, audit readiness and financial statement preparation. Whether you are evaluating a standalone structure, a segregated portfolio company, or an umbrella fund model, we help you get the details right before you go to market.