Lukka, Inc. (20240330908). GAIN AND LOSS COMPUTATION FOR CRYPTOCURRENCY TRANSACTIONS simplified abstract
Contents
GAIN AND LOSS COMPUTATION FOR CRYPTOCURRENCY TRANSACTIONS
Organization Name
Inventor(s)
Vadim Shteynberg of Ardsley NY (US)
Alexander Zakharov of Croton on Hudson NY (US)
GAIN AND LOSS COMPUTATION FOR CRYPTOCURRENCY TRANSACTIONS - A simplified explanation of the abstract
This abstract first appeared for US patent application 20240330908 titled 'GAIN AND LOSS COMPUTATION FOR CRYPTOCURRENCY TRANSACTIONS
- Simplified Explanation:**
The patent application describes systems and methods for computing gains and losses in cryptocurrency transactions. It involves storing acquisition and disposal transactions, matching them, determining fiat currency amounts, and computing gains or losses.
- Key Features and Innovation:**
- Storage of cryptocurrency acquisition and disposal transactions in chronological order.
- Matching disposal transactions with acquisition transactions.
- Determining fiat currency amounts for matched transactions.
- Computing gains or losses based on fiat currency amounts.
- Potential Applications:**
This technology can be used in cryptocurrency trading platforms, tax reporting software, financial auditing tools, and investment management systems.
- Problems Solved:**
This technology addresses the challenges of accurately calculating gains and losses in cryptocurrency transactions, especially for tax and financial reporting purposes.
- Benefits:**
- Improved accuracy in computing gains and losses.
- Streamlined tax reporting for cryptocurrency transactions.
- Enhanced financial transparency and compliance.
- Commercial Applications:**
- "Cryptocurrency Gain/Loss Calculator: Optimizing Tax Reporting and Financial Analysis"
- This technology can be utilized by cryptocurrency exchanges, accounting firms, financial institutions, and individual investors.
- Prior Art:**
Prior art related to this technology may include existing cryptocurrency tax reporting tools, financial software for tracking investments, and blockchain analytics platforms.
- Frequently Updated Research:**
Researchers may be exploring ways to enhance the automation and accuracy of gain and loss computation in cryptocurrency transactions, as well as integrating this technology with blockchain analytics tools.
- Questions about Cryptocurrency Gain/Loss Computation:**
1. How does this technology improve the efficiency of calculating gains and losses in cryptocurrency transactions? 2. What are the potential implications of using this technology for tax reporting and financial compliance in the cryptocurrency industry?
Original Abstract Submitted
systems and methods for gain and loss computation for cryptocurrency transactions. an example method comprises: storing a plurality of cryptocurrency acquisition transactions in an ascending order of respective transaction timestamps; storing a plurality of cryptocurrency disposal transactions in an ascending order of respective transaction timestamps; selecting a cryptocurrency disposal transaction of the plurality of cryptocurrency disposal transactions; selecting, from the plurality of cryptocurrency acquisition transactions, one or more cryptocurrency acquisition transactions, such that a timestamp of each selected cryptocurrency acquisition transaction is less than a timestamp of the selected cryptocurrency disposal transaction; matching the selected cryptocurrency disposal transaction with at least a subset of the selected one or more cryptocurrency acquisition transactions; determining, for each of the matched transactions, a corresponding fiat currency transaction amount; and computing, using the fiat currency transaction amounts, one of: a gain associated with the cryptocurrency disposal transaction or a loss associated with the cryptocurrency disposal transaction.
