I’m doing tax catchup, am a bit overwhelmed, and now seriously regret playing Cryptokitties!
I imported all my Eth addresses to Koinly and there’s thousands of small transactions from when I bought and sold cats on there. Since the “cryptokitties” were really just ERC20 tokens then should these transactions just be left as is? Or do I need to do something to make sure my cost basis is still correct?
The transactions are marked as withdrawals and deposits, instead of transfers/trades
I’m new to Koinly but and it’s quite confusing. I think of the ERC wallet like a bank account. Withdrawal from the account buying “things” and depositing back into the account is selling “things”. The issue comes when those “things” (contract) change in value. I would expect that the difference is captured between the time you withdrew and the time it was deposited. I’m no expert so interested to see what Support responds with.
Has anyone found a resolution for this? I’m still majorly confused. I sorted out my EtherDelta transactions by creating an “EtherDelta” wallet for the smart contract and linked up trades + transfers in and out of the contract to it.
Do I need to do the same here and create a “Cryptokitties” wallet? How do I make sense of all these transactions?