&w=3840&q=100)
Got crypto gains or gifts? Here's why the taxman could soon come calling
'As per Section 115BBH introduced in FY22–23, any income from the transfer of virtual digital assets (VDAs) like Bitcoin, Ethereum, or NFTs is taxed at a flat 30 per cent, with no deductions allowed except the cost of acquisition,' explains Sathvik Vishwanath, co-founder and chief executive officer, Unocoin. This includes crypto-to-INR sales, crypto-to-crypto swaps, using crypto for purchases, and even gifting.
Every crypto move is taxable
'Whether you're selling, swapping coins, receiving gifts, or using crypto for shopping, every such event is a taxable transfer,' notes Purvang Mashru, senior quantitative research analyst at 1 Finance.
This flat 30 per cent tax is applicable across the board:
· Crypto sold for INR
· Crypto exchanged for another coin
· Crypto gifted or received
· Crypto spent on goods/services
A 1 per cent TDS under Section 194S also applies on transactions exceeding ~10,000 a year, deducted by the exchange or payer, and reported to the government.
Additionally, any airdrop, staking rewards, or crypto salaries are taxed at your slab rate, adds Sonu Jain, chief risk and compliance officer, 9Point Capital.
Skipping crypto in ITR? 'Risky move', say experts
'The tax department has extensive mechanisms to track undeclared crypto activity,' warns Chartered Accountant Suresh Surana. Exchanges are mandated to deduct and report TDS, and from FY26–27, must file user-level reports under Section 285BAA.
'Failing to disclose crypto gains can lead to penalties under Section 270A or prosecution under Section 276C, with jail terms up to 7 years for willful evasion,' Surana adds.
Purvang Mashru warns that unexplained crypto income could even be taxed at 60 per cent under anti-evasion rules.
Swapping coins? Still taxed
A common myth is that crypto-to-crypto trades are tax-free. That's incorrect.
'Whether you convert Bitcoin to Ethereum or buy an NFT using crypto, it is a taxable event,' clarifies Jain. The gain is calculated as the difference between your purchase price and the value of the crypto you received.
No relief, no set-offs
Indian tax rules offer no mercy when it comes to crypto.
'There are no exemptions, no expense deductions, no set-off against other income, and no carry-forward of losses,' says Siva Venkataraman, vice-president, Finance at CoinSwitch. 'Even transaction fees or electricity costs for mining are not allowed.'
Surana adds, 'Rebates like Section 87A may help those with total income under Rs 5 lakh, but crypto gains remain taxed at 30 per cent, with surcharge and cess.'
What should you do?
Experts agree that one should declare their crypto gains transparently and file taxes accurately.
'Maintaining records, tracking acquisition cost, and using compliant platforms can help manage your tax liability,' advises Venkataraman.
With rising regulatory scrutiny, experts stress that tax planning is as crucial as investment strategy in the crypto world.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Economic Times
27 minutes ago
- Economic Times
Bullish IPO raises $1.1B in oversubscribed debut at $5.4B valuation as Peter Thiel-backed exchange rides crypto market boom
Synopsis Bullish IPO has shaken up Wall Street after raising $1.1 billion in one of the year's most oversubscribed listings. Backed by billionaire investor Peter Thiel, the crypto exchange priced shares at $37, above expectations, giving it a market value of about $5.4 billion. Reuters Bullish IPO began trading today with a $5.4 billion valuation after raising $1.1 billion in an oversubscribed debut, marking a powerful market entry for the Peter Thiel-backed crypto exchange amid a booming digital asset rally. Peter Thiel-backed Bullish pulls off $1.1B IPO as crypto confidence surges: When Bullish rang the opening bell at the New York Stock Exchange, it wasn't just another debut—it was a statement about where crypto is heading under the current market and political climate. The cryptocurrency exchange, which also owns CoinDesk, priced its initial public offering at $37 a share, well above the already-raised guidance range of $32 to $33, and sold 30 million shares. That haul brought in roughly $1.1 billion and gave Bullish a market valuation of about $5.4 billion, according to SEC filings. This wasn't just a well-timed offering—it was one of the most oversubscribed IPOs in recent years. Bloomberg, citing sources close to the deal, reported that demand topped the share allocation by more than 20-to-1, prompting Bullish to boost both the number of shares and the price range in the days leading up to the listing. Bullish's debut is riding a wave of optimism in digital assets. Bitcoin is hovering near an all-time high of $120,000, and the Trump administration's recently signed legislation creating a regulatory framework for stablecoins has injected rare clarity into the U.S. crypto market. ALSO READ: This crypto stock skyrockets 182% after Peter Thiel makes surprise investment - market stunned The stablecoin law—signed last month—is being hailed as one of the most significant pieces of pro-crypto legislation in U.S. history. 'Institutional capital loves certainty, and this is the first time we've had a clear, federally sanctioned rulebook for a key part of the crypto economy,' said Michael Dunn, a fintech policy analyst at the Blockchain Association. 'Bullish is hitting the market at exactly the right time.' Founded with institutional traders in mind, Bullish offers spot trading, margin trading, and crypto derivatives, but deliberately limits its focus to the largest and most liquid assets—Bitcoin and Ethereum. The strategy contrasts with retail-heavy exchanges like Coinbase that cater to a broader range of altcoins. 'By focusing on deep liquidity for a narrow set of assets, Bullish is avoiding the speculative excesses that often get retail-focused exchanges into trouble,' said Aaron Klein, a former derivatives trader now advising digital-asset funds. The company's institutional tilt is underscored by its shareholder list: Peter Thiel's Founders Fund, Galaxy Digital, BlackRock, and ARK Invest are among the names either already invested or expressing interest in significant secondary purchases. ARK, led by Cathie Wood, has indicated it may acquire up to $200 million worth of shares at the IPO price. While Bullish posted a net loss in the first quarter of 2025, management expects to swing to profitability in Q2 with projected net income between $106 million and $109 million. Trading volumes tell the story—$250 billion in 2024, compared with just $72.7 billion in 2022, a growth trajectory that suggests its institutional bet is paying off. The company also disclosed crypto holdings worth about $2 billion, the majority in Bitcoin, with smaller allocations to Ethereum and stablecoins. Those reserves aren't just balance sheet filler—they're part of the firm's liquidity strategy, giving it the ability to settle trades quickly and withstand market shocks. Bullish's success echoes the reception for Circle Internet's IPO in June, which was also upsized on strong demand. Circle's shares have since climbed more than 400%, a reminder that when the market senses stability in crypto policy and price momentum, investor appetite can turn ferocious. It's worth noting that Bullish had a false start in 2021 when it tried to go public via a SPAC merger. That deal was abandoned in 2022 amid collapsing crypto prices and heightened regulatory hostility. The contrast between then and now illustrates how quickly market sentiment can pivot when macro conditions and regulatory frameworks align. Bullish trades under the ticker BLSH on the NYSE, with JPMorgan, Jefferies, and Citigroup leading the underwriting. Early interest from retail traders has been notable—Stocktwits data shows a 177% jump in message volume over the past week—suggesting this won't be a purely institutional play once the dust settles. The question now is whether Bullish can maintain momentum in a notoriously fickle sector. Institutional orientation and regulatory tailwinds are strengths, but crypto markets are still highly sensitive to macro shifts, security incidents, and liquidity crunches. Traders will be watching Q3 volumes and any expansion of its product suite closely. Q1. What is the Bullish IPO price and valuation? The Bullish IPO priced at $37 per share, valuing the company at about $5.4 billion. Q2. Who backs Bullish in its IPO? Bullish is backed by Peter Thiel's Founders Fund, BlackRock, Galaxy Digital, and ARK Invest.
Time of India
an hour ago
- Time of India
Bullish IPO raises $1.1B in oversubscribed debut at $5.4B valuation as Peter Thiel-backed exchange rides crypto market boom
Bullish IPO has shaken up Wall Street after raising $1.1 billion in one of the year's most oversubscribed listings. Backed by billionaire investor Peter Thiel, the crypto exchange priced shares at $37, above expectations, giving it a market value of about $5.4 billion. Tired of too many ads? Remove Ads Why this listing landed at the perfect moment for crypto Tired of too many ads? Remove Ads What makes Bullish different from other crypto exchanges Financials show a quick turnaround The IPO's wider market signal What to watch next for BLSH traders Tired of too many ads? Remove Ads FAQs: When Bullish rang the opening bell at the New York Stock Exchange, it wasn't just another debut—it was a statement about where crypto is heading under the current market and political climate. The cryptocurrency exchange, which also owns CoinDesk, priced its initial public offering at $37 a share, well above the already-raised guidance range of $32 to $33, and sold 30 million shares. That haul brought in roughlyand gave Bullish a market valuation of about, according to SEC wasn't just a well-timed offering—it was one of the most oversubscribed IPOs in recent years. Bloomberg, citing sources close to the deal, reported that demand topped the share allocation by more than 20-to-1, prompting Bullish to boost both the number of shares and the price range in the days leading up to the debut is riding a wave of optimism in digital assets. Bitcoin is hovering near an all-time high of $120,000, and the Trump administration's recently signed legislation creating a regulatory framework for stablecoins has injected rare clarity into the U.S. crypto stablecoin law—signed last month—is being hailed as one of the most significant pieces of pro-crypto legislation in U.S. history. 'Institutional capital loves certainty, and this is the first time we've had a clear, federally sanctioned rulebook for a key part of the crypto economy,' said Michael Dunn, a fintech policy analyst at the Blockchain Association. 'Bullish is hitting the market at exactly the right time.'Founded with institutional traders in mind, Bullish offers spot trading, margin trading, and crypto derivatives, but deliberately limits its focus to the largest and most liquid assets—Bitcoin and Ethereum. The strategy contrasts with retail-heavy exchanges like Coinbase that cater to a broader range of altcoins.'By focusing on deep liquidity for a narrow set of assets, Bullish is avoiding the speculative excesses that often get retail-focused exchanges into trouble,' said Aaron Klein, a former derivatives trader now advising digital-asset company's institutional tilt is underscored by its shareholder list: Peter Thiel's Founders Fund, Galaxy Digital, BlackRock, and ARK Invest are among the names either already invested or expressing interest in significant secondary purchases. ARK, led by Cathie Wood, has indicated it may acquire up to $200 million worth of shares at the IPO Bullish posted a net loss in the first quarter of 2025, management expects to swing to profitability in Q2 with projected net income between $106 million and $109 million. Trading volumes tell the story—$250 billion in 2024, compared with just $72.7 billion in 2022, a growth trajectory that suggests its institutional bet is paying company also disclosed crypto holdings worth about $2 billion, the majority in Bitcoin, with smaller allocations to Ethereum and stablecoins. Those reserves aren't just balance sheet filler—they're part of the firm's liquidity strategy, giving it the ability to settle trades quickly and withstand market success echoes the reception for Circle Internet's IPO in June, which was also upsized on strong demand. Circle's shares have since climbed more than 400%, a reminder that when the market senses stability in crypto policy and price momentum, investor appetite can turn worth noting that Bullish had a false start in 2021 when it tried to go public via a SPAC merger. That deal was abandoned in 2022 amid collapsing crypto prices and heightened regulatory hostility. The contrast between then and now illustrates how quickly market sentiment can pivot when macro conditions and regulatory frameworks trades under the tickeron the NYSE, with JPMorgan, Jefferies, and Citigroup leading the underwriting. Early interest from retail traders has been notable—Stocktwits data shows a 177% jump in message volume over the past week—suggesting this won't be a purely institutional play once the dust question now is whether Bullish can maintain momentum in a notoriously fickle sector. Institutional orientation and regulatory tailwinds are strengths, but crypto markets are still highly sensitive to macro shifts, security incidents, and liquidity crunches. Traders will be watching Q3 volumes and any expansion of its product suite Bullish IPO priced at $37 per share, valuing the company at about $5.4 is backed by Peter Thiel's Founders Fund, BlackRock, Galaxy Digital, and ARK Invest.
Economic Times
2 hours ago
- Economic Times
XRP surges 470% in a year — analyst says $12.60 target now within reach
Synopsis XRP price prediction has taken center stage after analyst Ali Martinez projected a potential surge to $12.60, citing a multi-year breakout pattern that began in late 2024. The cryptocurrency, currently trading near $3.28, has gained over 470% in the past year, fueled by bullish sentiment, rising institutional interest, and hopes for regulatory clarity. Short-term traders are eyeing resistance around $3.35, while long-term investors weigh macroeconomic factors like possible Fed rate cuts and Europe's MiCA framework. If XRP hits the $12.60 target, it could rival Ethereum's market cap, reshaping crypto rankings and drawing unprecedented institutional flows into Ripple's digital asset. Agencies XRP price prediction $12.60 breakout is back in the spotlight after the cryptocurrency's stunning 470% surge over the past year reignited debate on its long-term potential. Market watchers are zeroing in on analyst Ali Martinez's bold forecast, which points to a multi-year breakout pattern that could push XRP to its highest level in history. Ripple's XRP has spent much of 2025 in a tug-of-war between bullish technical setups and macroeconomic uncertainty. Now, a bold new forecast from crypto analyst Ali Martinez has reignited debate in trading circles: could XRP really climb to $12.60 from its current ~$3.26 level? Martinez's projection hinges on a multi-year symmetrical triangle breakout that began forming after XRP's November 2024 surge. This is not a short-term chartist fantasy — the pattern stretches back nearly five years, encompassing both the 2018–2020 stagnation and the post-SEC lawsuit rebound. Here's the technical logic: The triangle's upper resistance was decisively breached in late 2024. Volume spikes have coincided with every upward test since, suggesting genuine buying pressure rather than algorithmic noise. A measured move from the triangle's widest range projects to the $12.60 zone. That's a 287% gain from current levels — not unprecedented in crypto, but demanding sustained momentum and a benign macro backdrop. ALSO READ: This crypto stock skyrockets 182% after Peter Thiel makes surprise investment - market stunned Martinez's isn't the only bullish voice. Bitget analyst Gracy Chen recently told the Economic Times she expects XRP to hit $5 by end-2025 , citing rising institutional adoption. recently told the she expects XRP to hit , citing rising institutional adoption. Technical desks at independent trading firms see short-term resistance around $3.35–$3.50 and a possible push to $3.90–$4.00 if Bitcoin maintains above $70,000. and a possible push to if Bitcoin maintains above $70,000. Long-range forecasts, including some from independent research outlets, place XRP's 2030 potential between $9.50 and $26.97 under steady adoption growth. As someone who's spoken directly to fund managers allocating to crypto in 2025, I can tell you the institutional tone is shifting — from speculative bets to infrastructure integration. XRP's liquidity profile and compliance narrative make it a candidate for such portfolios. While charts can excite traders, regulation determines XRP's ceiling in the real economy. Ripple's partial court victory over the U.S. Securities and Exchange Commission (SEC) in mid-2023 clarified that XRP sales on exchanges were not securities transactions. But the case isn't fully closed — and appeals could still shape sentiment. European and Asian markets, meanwhile, are moving faster. The EU's MiCA framework, set to fully apply by December 2025, could make XRP one of the first major tokens with full cross-border regulatory alignment. That's a signal to banks — and banks, in my two decades of covering finance, are what truly move the needle on adoption. Price trend and performance On Binance, XRP is trading around $3.28 , showing a ~4.95% rise in the last 24 hours and +11.30% over the past week. TradingView data confirms similar momentum: a ~8.9% increase over the past week, 13.6% over the month, and a substantial ~479% gain in the past year. Historical short-term movement charts daily price action from July 2025 to mid-August: August 7: XRP surged ~11% to around $3.32. August 12: Another bump of ~4.4%, trading near $3.27–$3.28. YCharts adds: as of August 13, 2025, XRP sits at $3.267, up 4.08% from yesterday and up a massive 474.7% compared to a year ago. Technical indicators (short-term) Changelly reports a rising 50-day moving average , supportive of bullish momentum in the short run (daily/4-hour charts). In general, technical tools group movements over the past ~20 days as 'short-term' indicators—Buy, Hold, or Sell signals can be generated using this framework. Price journey from early days to today Early August 2013: XRP was priced at just $0.0067 . The 2017–early 2018 bull run took it from pennies to a peak of around $3.84 . It later fell below $1 during the 2018–2020 crypto winter, only to retest $1+ levels by April 2021 before its recent resurgence. CoinLore notes its highest in mid-2025 at around $3.54 . Long-term growth CoinCodex highlights XRP's explosive rise from ~$0.0067 in 2013 to over $3 in 2025—a near 600x gain in just over a decade. Market cap milestones: $100 million by 2013 $1 billion by Feb 2017 $50 billion by late 2017. Broader factors shaping long-term outlook While short-term moves respond to technical zones and sentiment, 'long-term predictions hinge on broader adoption and macroeconomic factors.' Academic studies of XRP show unique volatility patterns. Unlike Bitcoin/Ethereum, XRP's volatility correlates more strongly in uptrend periods, suggesting investor enthusiasm drives spikes more than fear drives dips. Many casual investors forget that macroeconomic policy still drives crypto cycles. XRP's last sustained bull run in late 2020 coincided with historically low interest rates. Today, with the U.S. Federal Reserve signaling potential rate cuts into late 2025 to counter slowing GDP growth, liquidity is creeping back into risk assets. As we saw in early August, the Dow, S&P 500, and Nasdaq all rallied on dovish Fed commentary — and XRP's chart flickered green in sympathy. If this macro tailwind continues, it could amplify technical breakouts. A jump to $12.60 would: Push XRP's market cap above $670 billion (assuming supply near current 53.5 billion circulating tokens). (assuming supply near current 53.5 billion circulating tokens). Vault it into contention with Ethereum for the #2 spot by market capitalization, a reshuffle the market hasn't seen since 2017. Force a re-rating of every major crypto index and ETF, pulling more institutional flows into XRP. However, such moves would also invite speculative froth — and in past cycles, rapid triple-digit gains have often been followed by 40–60% retracements before finding a new floor. XRP's path to $12.60 is plausible on paper — but the road will be volatile, littered with regulatory landmines and macro uncertainty. For swing traders, the $3.35–$3.50 breakout level is the immediate test. For long-term holders, the real question is whether Ripple can keep deepening partnerships with financial institutions, particularly in emerging markets where cross-border payment inefficiencies are most acute. As someone who's watched XRP weather crashes, lawsuits, and near-obituaries, I can say this: momentum in crypto doesn't just come from charts. It comes from a story the market believes in. Right now, XRP's story is stronger than it's been in years — but belief can evaporate quickly without real-world wins. Q1: What is the latest XRP price prediction from analysts? Analyst Ali Martinez predicts XRP could reach $12.60 based on a multi-year breakout pattern. Q2: What is XRP's current price and resistance level? XRP is trading near $3.28, with short-term resistance around $3.35.
