Unless you’re from a country that doesn’t tax crypto, you will have to include crypto earnings or losses in your tax reports. Unfortunately, filing crypto taxes is anything but simple. In our experience, trying to manually calculate the tax and provide all the relevant documentation can get very complex, very quickly. 

That's why services — like Koinly and CryptoTrader.Tax (now CoinLedger) — have become popular solutions for calculating and reporting crypto taxes. But, which of these two platforms should you use? After all, choosing the right tool is essential for accurate and compliant tax reporting.

For us, Koinly is the superior option. So, if you want to sign up for Koinly, use our link to get a 30% discount on all plans. If you’re curious about how we reached this conclusion, keep reading to find out. 

Overview of Koinly

Ever since its launch in 2018, Koinly has become one of the biggest names in the crypto tax management industry, and for a good reason. 

At the time of writing, Koinly supports over 400 different wallets and crypto exchanges including industry leaders like Coinbase and Binance. It also offers completely automated transaction imports from most of these exchanges to further streamline the tax filing process. Plus, you can use its services in over 100 different countries worldwide.

However, one of the most notable features of Koinly for us is its ability to accurately track crypto prices at the time of transaction. This ensures that your final tax reports are accurate so you don’t have to worry about any future troubles with the tax department. 

Overview of CryptoTrader.Tax

CryptoTrader.Tax also launched in 2018 but it later rebranded to CoinLedger in January 2022. In terms of compatibility, CryptoTrader.Tax (CoinLedger) supports 55 different exchanges & wallets. It also operates in 16 different countries including the US, the UK, Australia, and Canada. 

With that said, the first thing we noticed when reviewing this platform is its ability to generate audit-ready reports that you can file with ease. It also has a direct partnership and automatic integration with TurboTax which is one of the largest tax management services in the US.

CryptoTrader.Tax (CoinLedger) is also launching a portfolio tracking service soon. It’ll allow you to track your entire crypto portfolio — spread across multiple wallets — from one location.

Koinly vs CryptoTrader.Tax: Comparison of Features

Let’s compare the key features of Koinly and CryptoTrader.Tax (CoinLedger) to analyze their performance, accuracy, ease of use, and more.

Automated transaction imports

Both Koinly and CryptoTrader.Tax (CoinLedger) offer automated transaction imports. This allows their users to import transaction history from various exchanges and wallets without manually inputting each transaction. 

This might not matter much for occasional traders. But, it can be a huge time saver for more active traders with a large number of transactions under their belt.

Support for various exchanges and wallets

You can import transaction data from popular crypto exchanges — like Binance, Coinbase, and Kraken — on both platforms. But, if you want to import data from more obscure and lesser-known exchanges, you’ll likely have to choose Koinly. 

This is because Koinly supports over 400 different exchanges and wallets, while CryptoTrader.Tax (CoinLedger) is limited to only 55 exchange platforms. 

Tax reporting for different countries

Both of these platforms offer tax reporting services for different countries. However — just like their support for different exchanges — Koinly has a more broad-reaching service. 

After a bit of digging, we discovered that Koinly can calculate taxes for over 100 different countries. On the other hand, CryptoTrader.Tax (CoinLedger) is only available for 16 countries. 

As a side note, a praise-worthy feature of CryptoTrader.Tax (CoinLedger) we’d like to mention here is its educational content. The platform offers detailed, regularly updated guides on how to file crypto taxes in most of its supported countries which can be very useful for new users.

Support for different types of cryptocurrencies

This is one area where CryptoTrader.Tax (CoinLedger) has a slight edge as it supports over 20,000 different crypto assets. Koinly, on the other hand, supports tax calculations for 17,000 different assets, which is still a large number. 

Unless you’re trading some very obscure cryptocurrencies, either platform should work fine for you. 

Cost basis calculation methods

Both Koinly and CryptoTrader.Tax (CoinLedger) use cost basis calculation to work out your crypto tax reports. The methods they have in common include:

In addition to that, Koinly also offers some less common calculation methods to its users such as:

General usage experience

Here are a few more factors we evaluated when using these crypto tax calculating services:

Accuracy

Both platforms are fairly accurate in importing data, making calculations, and generating reports. That said, Koinly has a more robust error reconciliation feature with options like auto balance verification, a double-entry ledger for every asset, and transaction sorting by gains.

Ease of use

Both Koinly and CryptoTrader.Tax (CoinLedger) have beginner-friendly and intuitive user interfaces. So, we did not experience any issues navigating their web apps. 

User experience

General user experience was also excellent on both platforms. However, we did encounter a little trouble when trying to set up some lesser-known exchanges on CryptoTrader.Tax (CoinLedger).

Pricing Comparison

Here’s how much you’d have to pay for using these crypto tax management platforms:

Koinly

Koinly offers a second version of the Trader tier as well. It costs $279 and allows you to calculate taxes for 10,000+ transactions. 

Remember, take 30% off all these plans by signing up to Koinly through our link!

CryptoTrader.Tax (CoinLedger)

(Do note that all of these are charged once every tax year.)

Free options

Both platforms offer a free tier for their users. These free options allow users to import their transactions and use the platform for calculations. However, you have to upgrade to a paid plan if you want to download the tax reports. 

These free tiers are also missing a few key features like “Cost analysis” on Koinly and “Tax Software Integrations” on CryptoTrader.Tax (CoinLedger).

Additional costs

On Koinly and CryptoTrader.Tax, you won't have to pay any additional fees if you choose the right plan for your number of transactions. 

One downside of CryptoTrader.Tax (CoinLedger) is there are extra charges if you want to process more than 3,000 transactions. 

Cost-effectiveness

For low-volume traders — with less than 1,000 transactions — both platforms are equally matched in cost-effectiveness, although when you apply the 30% discount, Koinly is much cheaper. 

If you want to calculate taxes for more than 1,000 transactions, Koinly is the better option, even before applying the 30% discount.

Pros and Cons

Koinly

CryptoTrader.Tax (CoinLedger)

Before we move on to our final verdict, it’s important to note that different types of users may prefer different platforms. 

For example, businesses would likely choose Koinly because of its lower prices for large numbers of transactions and more secure error prevention features. 

On the other hand, active traders might prefer CryptoTrader.Tax (CoinLedger) because of its direct integration with popular tax filing services. 

In a similar vein, either of these platforms is suitable for casual traders as they don’t need many advanced features. Plus, the pricing for less than 100 transactions is the same for both. 

Conclusion

CryptoTrader.Tax (CoinLedger) is not a bad crypto tax software by any means. However, after a thorough analysis of features, prices, and more — Koinly is the winner of this comparison. 

We highly recommend Koinly to users who want a reliable and easy-to-use tool for calculating crypto taxes. Plus, if you sign up using our exclusive link, you will receive 30% discount on all plans — making it an even more attractive option.

While Koinly is the better option based on our comparison and personal experience, we suggest you do your own research. Try out the free versions of both platforms and see which one better fits your needs.

Whatever platform you choose, be sure that it offers accurate crypto tax reporting services. Otherwise, you can get in legal trouble for submitting incorrect metrics on your tax reports. 

Also, keep in mind that crypto taxation laws and regulations vary by country. So, consult with a qualified tax professional for accurate tax advice for your jurisdiction.