Silver Adds Cost Basis Support for Bitcoin and Other Cryptocurrencies
NEW YORK, January 31, 2018 (Newswire.com) - Silver Management Group Inc., a premier investment services technology provider, today announced the addition of cryptocurrency support in its cost basis and tax reporting solutions. Last December's listing of Bitcoin futures on the CBOE Futures Exchange and Chicago Mercantile Exchange marked another milestone in the mainstream adoption of cryptocurrencies, also known as digital or virtual currencies, as an alternative investment vehicle. Managing Partner Neal Ruskin explains that "Silver keeps a close watch on evolving trends and regulations, and now with exploding interest in digital currency trading and the introduction of virtual currency derivatives on the major regulated exchanges, the time is right to add cryptocurrency support to our products."
Per IRS Notice 2014-21 cryptocurrencies are considered non-cash property for federal income tax purposes. Although trades of Bitcoin, Ethereum, Ripple or any of the numerous other cryptocurrencies do not strictly fall under the Sec 6045 broker information reporting regime, Silver continues to add support for noncovered instruments to enhance value of supplemental reporting provided to investors. Current Silver Cost Basis support includes cryptocurrency tax lots resulting from fiat/virtual and virtual/virtual trades, with applicable capital gain or loss calculation and term determination as well as ordinary gain or loss determination under the Sec 475 professional trader rules. Also supported are applicable tax basis allocations for cryptocurrency hard-fork events. Silver's upcoming Cost Basis release will add support for cash settled and physically settled cryptocurrency futures. Mr. Ruskin continues, "Silver stands ready to support applicable reporting for cryptocurrencies and their derivatives as mainstream adoption continues and will remain compliant as additional IRS regulations and other guidance are provided."
Silver keeps a close watch on evolving trends and regulations, and now with exploding interest in digital currency trading and the introduction of virtual currency derivatives on the major regulated exchanges, the time is right to add cryptocurrency support to our products.
Neal Ruskin, Managing Partner, Product
About Silver Management Group Inc.
Silver is a leading provider of business and technology solutions for the investment services industry. The Silver team applies decades of securities industry and software development experience, along with a passion for solving real-world problems, to deliver cost-effective brokerage operations and wealth management solutions for our clients. Silver's strategic partners provide complementary services, software and market data to enhance Silver solutions. Silver's proprietary software solutions are currently used by some of the world's most respected financial institutions to process tens of millions of investment accounts and more than $1 trillion in assets.
For more information, please call (800) 319-6865 or visit www.silvermanagement.com.
Source: Silver Management Group Inc.