With the continued growth of the crypto industry, some countries are introducing policies on the taxation of cryptocurrency. This makes it essential for crypto investors and enthusiasts to have efficient tax reporting and tracking tools. Koinly and CoinTracker are two prominent platforms that offer solutions for accurately managing crypto transactions and tax obligations. In this Koinly vs CoinTracker comparison, we compare the two in this article, examining their specs and helping you make an informed decision.
Koinly vs CoinTracker: Overview
Koinly and CoinTracker are the two prominent crypto taxing tools in the space of the crypto ecosystem. The two may have similar and outstanding reviews, but they may differ in their operations and features.
|Mobile Application||Available for Android and iOS||Available for Android and iOS|
|Integration||350+ crypto exchanges, 50+ wallets, and 5,500+ cryptocurrencies||300+ exchanges and wallets and 9,000+ cryptocurrencies|
|Pricing||$0- $279||$0- $199 (may incur up to $299 for the Unlimited plan)|
|Customer Support||Email address and live chat||Online through the submission of a request on their website|
What are Crypto Tax Tools?
Crypto taxing tools are software platforms designed to streamline the process of tracking, managing, and reporting cryptocurrency transactions for tax purposes. The software simplifies the filing process and allows for complete tax filing in minutes.
As the cryptocurrency space grows, there has been an increase in the number of tax software out there. Some are free to use, while others are paid. As the software is already programmed, anyone can use these tools to file taxes, even without technical knowledge or programming.
Crypto tax tools are, in most cases, programmed with the regulatory requirements of every country the software supports. For instance, if a specific crypto software supports users from the US, it will be programmed to file taxes with the US laws factored in. As such, the tool ensures that the tax meets the legal requirements in any country in which you are filing the tax.
Koinly at a Glance
Koinly, a crypto tax calculator and software, reports your taxes based on trading, mining, staking, and airdrop activity. The tool is helpful for individual traders or investors and corporate or professional accountants who serve crypto investors.
Koinly comes with an app that operates with a hands-off approach. As such, all one needs to do is link their exchanges, wallets, or other services using API keys, and it will do the rest.
The software automatically imports your transactions. Koinly also calculates all market prices when one trades, matches transfers within their wallets, and determines the crypto gains and losses. Ultimately, it generates a cryptocurrency tax report.
- Offers localized tax reports from more than 100 countries.
- Allows one to invite their accountant to handle the tax filing for them.
- The app has a free edition.
- Allows for integration with over 350 exchanges and more than 6,000 cryptocurrencies.
- It is easy to use.
- Allows for real-time portfolio tracking.
- Does not accept cryptocurrency as payment.
- It is expensive for traders with sizable annual trade volumes.
CoinTracker at a Glance
As one of the best crypto portfolio tracker apps, CoinTracker can prepare the tax forms one needs to file with the Internal Revenue Service (IRS). The IRs now consider crypto to be property. In this way, any time you spend crypto or make a trade, it is a taxable event.
CoinTracker connects with your crypto exchanges and wallets, pulling all the data to follow the money trail. It then marks every transaction as either a gain or a loss and ultimately produces a tax report, mainly IRS Form 8949 and 1040 Schedule D.
- Supports 500+ exchanges and wallets.
- Allows for the downloading of IRS forms.
- It has a portfolio tracker with daily updates.
- Allows for integration with DeFi platforms.
- The platform suggests tax optimization strategies.
- It presents an incorrect identification of some tokens
- The tax-loss harvesting analysis is expensive, requiring a $99 monthly plan.
Learn how crypto tax loss harvesting can help you maximize your tax savings while investing in digital assets. Read our article on Crypto Tax Loss Harvesting Guide: Tips, Tools, and Risks.
Koinly vs CoinTracker: Supported Crypto Exchanges
Koinly boasts many supported exchanges, including popular platforms such as Binance, Coinbase, and Kraken. The software also allows for the integration of decentralized exchanges such as Uniswap and Sushiswap. Koinly also allows for custom blockchain integrations, ensuring compatibility with the most popular cryptocurrencies.
The platform also allows for integration with several wallets, including:
On the other hand, CoinTracker also allows for the integration of a comprehensive list of exchanges, including some prominent names such as Binance, BitMEX, Bitfinex, Kraken, Gemini, and more. CoinTracker regularly adds new exchange integrations based on user demand.
The platform also supports some wallets, including:
CoinTracker supports fewer DeFi platforms compared to Koinly.
Koinly vs CoinTracker: Cost & Pricing
Both Koinly and CoinTracker offer a free plan along with their paid plans. However, Koinly differs in its providence as the plans are based on the number of transactions. The pricing plan ranges from free options for users with limited transactions to paid plans for high-volume traders.
Tracking your portfolio is free on Koinly. However, the platform charges:
- $49 for 0 – 100 transactions
- $99 for 101 – 999 transactions
- $179 for 1,001 – 3000 transactions
- $279+ for more than 3,000 transactions
On the other hand, for CoinTracker, the free plan allows users to track up to 25 transactions. CoinTracker then charges:
- $59 for 26 – 100 transactions
- $99 for 101 – 200 transactions
- $199 for 201 – 1,000 transactions
- $299 for more than 1,000 transactions
Koinly vs CoinTracker: Tax Software Integrations
While filing for crypto taxes by yourself, you should go for a platform that can easily import your transactions to your tax platform of choice.
Koinly integrates with tax software such as TurboTax and TurboAct. On the other hand, CoinTracker integrates with other software like TurboTax, TaxAct, and H&R Block.
Koinly vs CoinTracker: User Interface and Ease of Use
Sometimes, we may face a challenging moment during the tax season. As such, choosing a platform that simplifies the process of filing your taxes becomes essential. This means the platform should be simple and easy to navigate, allowing you to classify your transactions and accurately calculate your tax liability.
Koinly offers a user-friendly interface, focusing on simplicity and efficiency. The platform uses an intuitive interface and AI-led automation to generate crypto tax reports. The platform also offers a clean and organized layout, which makes it simple for users to import their transaction data.
However, customers have complained that the platform mislabels transactions and makes it hard to manually re-classify them for tax purposes.
On the other hand, CoinTracker also emphasizes a user-friendly experience with an intuitive interface. However, customers have expressed frustration with the platform. Third-party reviewers complain of bugs and difficulty classifying different transaction types.
Koinly vs CoinTracker: Supported Cryptocurrencies
Koinly strives to support liquidity transactions carried out on the Ethereum, Binance Smart Chain, Polygon, Avalanche, Fantom, Cronos, Arbitrum, and other EVM blockchains.
CoinTracker supports thousands of crypto, NFT, and DeFi assets, including Bitcoin, Ethereum, and Solana.
However, between Koinly and CoinTracker, CoinTracker supports more cryptocurrencies, registering 10,000+ cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), and Solana (SOL). On the other hand, Koinly supports over 6,000 cryptocurrencies including Bitcoin (BTC), Ethereum (ETH), Stellar Lumens (XLM), Litecoin (LTC), and Polkadot (DOT).
Koinly vs CoinTracker: Supported Countries
Currently, Koinly is operational in the United Kingdom, the United States, Canada, Australia, New Zealand, Germany, Ireland, Sweden, Norway, Denmark, Finland, Spain, Italy, Austria, Lichtenstein, Ireland, the Czech Republic, Estonia, Malta, and Luxembourg.
On the other hand, CoinTracker provides complete tax support in just a few countries, including the United States, the United Kingdom, Canada, and Australia.
Koinly vs CoinTracker: Security
Koinly and CoinTracker register among the best crypto software. As such, we may assume that they try their best to keep their customers’ personal and financial data safe and secure.
Konly emphasizes strong security measures to protect user data—the platform employs encryption protocols and securely stores sensitive information.
Some security protocols include encryption, cloud hosting, confidentiality agreements, and secure payments. The app’s services are hosted by Heroku, an application that applies security checks, ensuring optimum security for the customers.
Koinly does not require you to give your private keys, ensuring that nobody can obtain them in case of a cyber-attack.
On the other hand, CoinTracker does not ask for your API keys either but has read-only access to them. All API keys on the platform are encrypted and securely stored.
The difference between the two is that CoinTracker has SOC 2 certification, while Koinly does not.
Koinly vs CoinTracker: Customer Care and Support
Koinly provides customer support through different channels, including email, live chat, and a comprehensive knowledge base. As a user, you can access documentation, guides, and FAQs to find answers to common queries. Paid plan users often get priority support, which results in a faster response time.
On the other hand, CoinTracker offers support through email and a vast knowledge base. Users can explore articles, guides, and FAQs to troubleshoot issues or seek assistance. The platform also gives all-time access to certified public accountants (CPAs), who can offer professional tax-related guidance.
The only difference is that with CoinTracker, customer support is only available for customers paying for higher price tiers.
Koinly vs CoinTracker: Mobile Application
Koinly has a mobile app for Android devices, while its iOS version is in beta testing and provides all the features and products. Koinly’s mobile application has a smooth and easy-to-use design, which is the optimum choice for most users.
Based on the review, we can conclude that the two platforms are essential if anyone wants to keep track of their portfolio. This can be done without the need to go through the rigorous steps of recording numerous transactions by hand. Koinly’s extensive integrations, customizable blockchain integrations, and robust tax calculation algorithms stand out. Also, CoinTracker impresses with its comprehensive exchange support, DeFi integration, and access to a CPA for expert guidance.
However, in conclusion to the qualities discussed in this article, Koinly is the best crypto tax tool you may consider using. The platform comes with many features, guides, tutorials, and a free version.
Is Koinly the same as CoinTracker?
No, Koinly and CoinTrcaker are not the same. They are two separate platforms that provide cryptocurrency tax management solutions but with distinct features, interfaces, and functionalities.
Is CoinTracker free?
CoinTracker offers both free and paid subscription plans. For the free plan, users can track up to a specific number of transactions with limitations. However, the paid plan offers additional features and benefits, including unlimited transaction tracking, advanced functionalities, and access to a CPA for professional assistance.
How much does Koinly cost?
Koinly offers different pricing plans that accommodate different user needs. The cost of Koinly may depend on factors such as the number of transactions, additional features, and support options. The cost may range from $0- $279 for different transactions.