Crypto-Assets: Accounting Considerations for Holders
Introduction
The rise of crypto-assets has posed new challenges for accountants and auditors. This publication provides guidance on the accounting for crypto-assets by holders.
Key Considerations
When accounting for crypto-assets, holders must consider the following key factors:
- Classification: Crypto-assets can be classified as either financial or non-financial assets.
- Valuation: The fair market value of crypto-assets should be used for valuation purposes.
- Impairment: Crypto-assets should be tested for impairment if their fair market value has declined.
IFRS Interpretations
The IFRS Interpretations Committee (IFRS IC) has issued an agenda decision on the accounting for crypto-assets. The agenda decision provides guidance on the following topics:
- The classification of crypto-assets
- The valuation of crypto-assets
- The impairment of crypto-assets
Additional Resources
The following resources provide additional guidance on the accounting for crypto-assets:
- EY - Technical Line - Accounting for digital assets including crypto assets
- The IFRS Interpretations Committee (IFRS IC) issued an agenda decision on the accounting for crypto-assets
- A previous EY publication IFRS Accounting for crypto-assets provides highlights accounting considerations for specialized entities engaged in crypto asset activities.
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