How do I connect my Bits Blockchain account to CoinTracker?
To add your Bits Blockchain transactions to CoinTracker:
Download the CSV export of your transactions from Bits Blockchain
Reformat those transactions into our CoinTracker CSV format (see our support guide here)
Import your CSV export to CoinTracker here
How to find your Bits public address
Your Bits public address is used to receive and track your BITS holdings.
Mobile wallets (e.g., Bits Wallet, Trust Wallet):
Open your wallet app.
Select your Bits account.
Tap Receive.
Copy your public address (it will typically start with 0x...).
Browser or desktop wallets:
Open the wallet or browser extension.
Ensure the Bits network is selected.
Click Receive or Account details.
Copy the public address (starting with 0x...).
Hardware wallets (e.g., Ledger, Trezor):
Connect your device and open the Bits app.
In your companion app (such as Ledger Live), click Receive.
Copy the 0x... public address.
Always keep your private keys and recovery phrases secure—only your public address should be shared for tracking or deposits.
How are Bits transactions taxed?
Like most cryptocurrencies, Bits (BITS) is treated as property for tax purposes. Different activities are taxed differently:
Buying BITS with fiat (USD, MXN, etc.) – Not taxable; establishes your cost basis.
Selling BITS for fiat – Taxable capital gain/loss = sale proceeds − cost basis.
Swapping BITS for other cryptocurrencies – Taxable event; the BITS disposed of triggers a gain or loss.
Using BITS for purchases or services – Taxable, as it's considered a crypto disposal.
Earning staking or protocol rewards – Ordinary income when received at fair market value; later sales create capital gains or losses.
Airdrops or promotional distributions – Taxable income when received.
Transfers between your own wallets – Non-taxable, but should be tracked to maintain cost basis integrity.
Network/gas fees – May be deducted from proceeds or added to cost basis depending on the transaction context.
CoinTracker automatically categorizes these events, applies the correct cost basis method (FIFO, HIFO, etc.), and prepares accurate gain and income summaries.
Can the IRS track Bits?
Yes. Bits is a public blockchain, meaning every transaction is recorded on-chain and accessible through block explorers. The IRS and other tax authorities can:
Analyze wallet and transaction data through blockchain forensics tools.
Receive reports (like 1099 forms) from centralized exchanges or custodians that support BITS.
Match wallet addresses to verified exchange accounts.
CoinTracker ensures accurate reporting of all your Bits transactions and rewards, helping you stay compliant with crypto tax regulations.