We cannot give tax advice and encourage you to speak with a tax professional about your personal financial situation. That said, here’s some general information to get you started.
Crypto transactions are taxed similarly to property transactions. You are responsible for reporting crypto transactions to the IRS. If you buy crypto using the Public app and hold that crypto, typically the transaction will not be taxed by the IRS because you haven’t realized any capital gain or loss. If you sell crypto using the Public app and receive cash, typically the IRS will tax you on any capital gains. If you made a capital loss on the sale, then you could be entitled to a tax deduction.
If you sold crypto assets on Public in the tax year, you will receive a Form 1099-DA. This is a new IRS form used to report sales and exchanges of digital assets, like cryptocurrency. Due to our crypto partner migration, if you transacted in crypto throughout the year, you may receive two 1099-DA forms; one from Bakkt and one from Zerohash.
Per the new IRS rules, there is no requirement for brokers to report cost basis on Form 1099-DA for the 2025 tax year. Bakkt Crypto's 1099-DA form will not report cost basis, however, Zerohash's 1099-DA will be reporting the cost basis.
When filing your taxes, you will use this crypto tax statement to complete IRS form 8949. These forms will be available by February 17, 2026. Once your crypto tax forms are available, you'll be able to access them in the Public app.
Please note this is for informational purposes only and should not be considered as tax advice. You are responsible for reporting your crypto transactions to the IRS and paying the required taxes. Public members should consult their tax advisors concerning any applicable tax laws.
If you ever have questions, the team is always here for you, so feel free to give us a shout on the app’s Chat or via email at support@public.com.