How to use cryptact - README first!

 

STEP 1. User registration

Please use this link to create a new user account.

PLEASE NOTE: We recommend using a PC for the below steps. We do not guarantee proper operations when you use tablets or smartphones.
This is because many of the files downloaded from the exchanges are ZIP files or password-protected files, and these are not necessarily compatible with tablets or smartphones. There is a risk of files becoming corrupted, which may cause inaccurate calculations.
Supported browsers

 

STEP 2. Have all of your transaction data ready

Need to upload all your transaction data since the Bitcoin genesis block! (Jan 3, 2009)
To accurately calculate the PNL for cryptocurrency, regardless of which fiscal year the calculation is for, you still need to upload all transaction history.
Missing any part of transaction history will result in an incorrect calculation. In addition, please note that transfers between your own accounts generally do not need to be uploaded.
Deposit & Withdrawal History for Cryptocurrency

There are below ways to prepare transaction history:

      1. Obtaining Transaction History in a File  How to get trade histories from exchanges
      2. Obtaining Transaction History via API Integration  Exchange API Connection
      3. Obtaining Transaction History associated with wallet addresses How to upload transaction history from Metamask

      4. Custom Preparation of Transaction History for Exchanges or Transactions that do not support File or API Integration:

If you are trading on unsupported exchanges (supported exchanges), trading between individuals, or have transactions that cannot be obtained via exchange files or APIs, please create a custom file as needed.

Custom File for any other trades

Supported exchanges

Supported coins

 

Now, let's log into cryptact and continue!

 

STEP 3. Select your cost basis method

When a user logs into cryptact for the first time after user registration, the following screen will be displayed. Please select whether your registered account is "individual" or "corporation."

  • If you choose "Individual", your cost basis will be set as Periodic Average Cost.
  • If you choose "Corporation", your cost basis will be set as Average Cost.

▼For those living in Japan

Screen Shot 2023-09-29 at 18.16.47.png

 

▼For those living outside of Japan

For those living outside of Japan, please select the cost basis that is applicable in the country you live in and the reporting currency.

Screen Shot 2023-09-29 at 18.17.11.png

 

STEP 4 Initialize starting balances

  • I want to input my complete crypto history--- Upload all trade history
  • I want to input my sart of year positions--- Enter the "coin balances held at the beginning of the fiscal year (positions)" and the "average acquisition cost of each coin" * please select this option if you are switching from another company's tools

スクリーンショット 2023-10-17 115555.png

 

▼ Start afresh

Use the "assistant" function to upload transaction history.(*)

Starting Balance II.png

(*1) What is "assistant"?

This feature guides you through all the necessary steps to perform a profit and loss calculation, providing a step-by-step walkthrough.

Even if you are a first-time user of cryptact, you can easily perform complex profit and loss calculations by following the on-screen instructions. For customers who have been using cryptact before, we provide on-screen guidance at each step, highlighting the points that may be confusing for you. This allows you to efficiently progress through the profit and loss calculation process. In particular, any transactions that cryptact couldn't process due to insufficient information will be displayed as "Invalid Transactions" with a warning. However, the "Invalid Transactions" section has been organized in a more user-friendly manner, making it easier for you to resolve them on your own.

You can access the "assistant" screen anytime by clicking the icon on the top right corner. Of course, you can also directly add or edit transactions from the transaction page without using the "assistant" feature.

Starting Balance III.png

 

▼ Import past calculation results

Click on "Add starting balance"  to enter the starting balance. For more details, please refer the below link. Once you have entered the start of year balance, proceed to step 5.

Adding your starting balance (switching from other company tools)

Starting Balance I.png

 

STEP 5. Upload your transaction history

There are below ways to upload transaction history:

  1. How to upload exchange files

    How to upload trade history using exchange files

    Precautions for when uploading an exchange file

  2. How to upload history using API connections

    How to use API connectivity with exchanges

    Precautions for when establishing API connections

  3. How to upload custom files

    If the exchange does not publish transaction history via API, or if the exchange file does not include certain transaction history or if the transaction history is missing certain information, it is difficult for a third party to determine the transaction detail. We cannot automatically handle such transaction history. In these cases, you need to manually add the necessary transaction history.

    Add transactions manually (custom trade)

  4. Connect to wallet address

* If you trade DeFi, you can connect to your wallet address and fetch DeFi transaction history.

DeFi: How to use

DeFi: How to connect to a wallet address

 

Transfers between your own addresses and accounts do not need to be included in your ledger. This is because these transfers do not impact your overall cryptocurrency balance (excluding fees). For more details, please refer this link.

 

STEP 6. Provide missing trade details

STEP 6-1. Resolve "Unclassified" DeFi transactions (Users who use DeFi features)

If cryptact can not recognize the transaction types due to lack of information or if they are not DeFi, transactions are temporarily marked as "Unclassified". You need to classify them so that they are included in the PNL calculation.

How to use DeFi functions

 

STEP 6-2. Fix "Invalid" transactions

"Invalid transactions" are transactions that cryptact could not correctly handle due to lack of information.
"Invalid transactions" are excluded from the PNL calculation, therefore, unless you fix them, the coin totals and the PNL will not be accurate. Please check for invalid transactions in the Transactions tab and fix them.

Correcting invalid transactions

DeFi: Correcting invalid transactions

 

STEP 7. Check the number of coins

After you upload all your transaction history and fix all invalid transactions, check that the number of coins on summary in cryptact matches the actual number of coins you own. Please note that cryptact does not track the number of coins per exchange. It shows the total number of coins that you own in all the exchanges.

Click "Check your coin positions and PNL" -> "Confirm" on the assistant screen.

How-to-guide

If you agree with the coin positions displayed on the next screen, click "Confirm positions".

▼ Below is just a sample

 

If it does not match the actual number of coins you own, this means your transaction history is incomplete. Please ensure all your transaction data is uploaded.

What to do when coin positions do not match after fixing invalid transactions?

If you are unable to locate all transaction history, please upload a custom trade to adjust the difference.

How to adjust the coin position after fixing all invalid transactions

 

STEP8.  Check the realized Profit and Loss

After you click "Confirm positions" in the assistant screen, next you will be asked to confirm your realized PNL. Once you click "Confirm P&L", the status for this step becomes completed.

▼ Below is just a sample

 

* You can click the period to display the PNL for a different fiscal year. Please also check the cost basis method displayed is what you selected.

 

STEP 9. Lock data

Go to Ledger Settings and lock data.

Data lock is a feature allows you to fix and lock the transaction history and the resulting PNL for the previous years.

What is the data locking function?

It solves the following problems and concerns:

  • I am worried that I might accidentally delete the past year's history.
  • Adding a new transaction history for a past year changed the calculation results for a past year that has already been declared.

スクリーンショット 2023-10-17 120518.png

In the Ledger Settings screen, select a past reporting year-end to lock data.

LockDate I.png

LockDate II.png

Once the data is locked, the lock icon will display as ON.

LockDate III.png

 

STEP 10. Download the ledger summary

Now you can download your ledger summary as needed.

Click "Download your ledger summary" -> "Download" in the assistant screen.

 

Alternatively, you can also download the same directly from the transaction tab by clicking the download icon to the left of "Add transactions".

* Cryptocurrency PNL is considered miscellaneous income, therefore, we understand that it is not mandatory to attach any documents when filing a tax return for cryptocurrency PNL.
However, we also understand that, even though it is optional, some people choose to print out the downloadable history file and attach it to their tax return. Please check with the tax office for more details, but our understanding is that additional attachments are not mandatory and it is up to you to decide how much attachments you provide.

 

[Related articles]

Useful articles on filing tax returns (Japanese only)

Documents to be attached to tax returns