Tax for Celsius Loans

Tax Questions
#1

If I take a loan from celsius. When my crypto is taken as collateral for the loan, is that classed as a sale? Likewise when I return the loaned amount to Celsius and my collateral is released back to me, is that classified as a sale?

What happens if I ask Celsius to use part of the collateral they have taken, to pay my outstanding loan. And return the rest of the collateral back to me?

1 Like
#2

Hi, no the collateral is not taxable. Just delete those collateral txns - we not ignore them in the api and csv files.

If part of your collateral is liquidated, I would assume there will be a trade or some kind of txn that shows this.

#3

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