Important Disclaimer
We strongly recommend consulting with a tax professional to understand your specific situation. Exponential.fi provides an Annual Tax Report each year to assist with your tax filings.
What are the tax implications for depositing and holding assets in Exponential.fi?
If you're depositing and holding assets (USDC, ETH, or BTC) in your Exponential.fi wallet without investing in DeFi, there are no tax implications. Your assets are held 1:1 on the Exponential.fi platform.
What are the tax implications for investing in DeFi pools?
If you decide to invest your assets into a DeFi pool, there may be tax implications.
Investments may trigger capital gains/losses or income depending on how you or your tax professional decide to treat the transaction.
What are the tax implications for promotions?
If you take advantage of a promotion, any rewards you earn may be taxable as income. Please refer to each promotion's Terms and Conditions for more information.
Does Exponential.fi report transactions to tax to authorities?
Exponential.fi does not currently report transactions to tax authorities or provide 1099 forms. However, to assist with your tax filings, Exponential.fi provides an Annual Tax Report each year.
We strongly recommend consulting with a tax professional to understand your specific situation.
I want to learn more.
There many public resources available. You can find more detailed information about tax in this DeFi Crypto Tax Guide.