How do I do crypto accounting on Bitcoin?

Ingest on-chain transactions, classify with rules, reconcile historical balances, value positions at period end, and export summarized journals to your ERP, with clear treatments for DeFi, swaps, and gas fees.

Does Tulo support DeFi on Bitcoin?

Core flows are supported; DeFi coverage may vary by protocol. Transactions and balances are normalized for reporting and audit.

Can I sync Bitcoin activity to my ERP?

Yes. Post-reviewed journals can be exported with entity and account dimensions for ERP posting and reconciliation.

Crypto accounting on Bitcoin | Tulo

Bitcoin is the original and most secure blockchain network, using a UTXO model and Proof-of-Work consensus to maintain decentralization and immutability. It serves as digital gold and a store of value, with the largest market capitalization and most established network effects in cryptocurrency. Bitcoin's security model has been tested for over 15 years without successful attacks on its core protocol. The network continues to evolve with Layer 2 solutions like Lightning Network while maintaining its core principles of decentralization and sound money.

What does crypto accounting on Bitcoin involve?

Ingesting on-chain transactions into a human-readable general ledger.
Tracking historical token balances and cost basis for realized/unrealized gains.
Classifying DeFi (swaps, LP, staking, bridges) with clear audit trails.
Mapping activity to a chart of accounts for financial statements.

Recommended workflow for finance teams

Connect wallets, custodians, and contracts relevant to Bitcoin.
Auto-tag common patterns (transfers, swaps, fees) using rules.
Reconcile balances across custody sources and on-chain snapshots.
Review exceptions, assign accounts/entities, and export to ERP.

Common accounting treatments on Bitcoin

Gas fees: typically expensed; capitalize when attributable to asset acquisition.
Swaps: disposal + acquisition with fair value at execution.
Staking rewards: recognize income upon receipt; track tax lots for disposals.
LP positions: record deposits/withdrawals; value positions to capture P/L.

ERP integration

Export summarized journals to your ERP with entity, account, class, and memo dimensions. Keep IDs consistent across environments to support automated, repeatable syncs.