At Koinly, we're dedicated to ensuring the utmost security of our customer's data, and to maintaining strict compliance with regulatory requirements. We understand the significance of safeguarding our customer's sensitive information and seamlessly working within the guidelines set by tax authorities around the world.
Our commitment to data security and compliance goes hand in hand as we strive to provide investors with a trustworthy and reliable cryptocurrency tax solution. As part of our steadfast dedication to upholding the highest standards, we are GDPR compliant and have obtained essential certifications such as SOC 2, and ISO 27001. Moreover, we undergo regular audits and engage with top accountancy firms to ensure our cryptocurrency tax calculation methods align with country-specific tax authorities.
If you're a crypto tax investor wondering if Koinly's safe, let's look at some of the ways that Koinly keeps your data secure, and your tax reports accurate.
SOC 2 certification
Koinly proudly holds SOC 2 certification, which validates our adherence to rigorous security and operational standards. SOC 2, is an auditing standard devised by the American Institute of Certified Public Accountants (AICPA). SOC 2 focuses on the security, availability, processing integrity, confidentiality, and privacy of data within a service organization. With Koinly’s SOC 2 certification, we demonstrate our commitment to protecting customer data, maintaining system availability, and implementing effective controls to safeguard the confidentiality and privacy of information.
ISO 27001 certification
We take information security seriously at Koinly, which is why we're proud of our ISO 27001 certification. ISO 27001 is the world's best-known standard for information security management systems.This globally recognized standard validates our commitment to implementing robust security practices throughout Koinly. In meeting ISO 27001 standards, we conduct thorough risk assessments, implement stringent security controls, and continuously monitor and improve our systems to ensure the protection of customer data.
As a company operating within the European Union and entrusted with personal data, Koinly fully complies with the General Data Protection Regulation (GDPR). GDPR represents a comprehensive data protection law, outlining strict guidelines for the collection, storage, and processing of personal data concerning EU citizens. We have meticulously implemented measures to ensure that your data is handled securely and in strict accordance with GDPR requirements. By aligning with GDPR, Koinly prioritizes your privacy rights, providing transparency in our handling and protection of personal information.
Third-party accounting audits and reviews
As a trusted crypto tax software company serving crypto investors worldwide, Koinly understands the vital need to align our cryptocurrency tax calculation methods with the specific tax regulations of each country.
We also recognise that tax laws are complex and constantly changing, so we go to great lengths to ensure accuracy and compliance by actively engaging in regular software audits and tax reviews, partnering with leading accountancy firms including those who use Koinly. Through these collaborative efforts, we thoroughly assess and refine our tax calculation processes, based on technical reviews from tax experts and consultations with accounting firms.
As part of our ongoing audits and reviews with third-party accounting firms around the world, Koinly recently completed reviews in three of our markets, namely Canada, Australia and Ireland.
In Canada, we engaged the expertise of MNP, a leading accountancy firm, to assess Koinly’s current state model (and related software algorithms and calculations) and to provide a point-in-time assessment of Koinly’s system implementing calculations for their customers using their software according to Canada’s Adjusted Cost Basis (ACB) methodology and tax loss rules. This engagement was to identify key regulated reporting and compliance requirements. MNP assessed Koinly’s software calculations confirming results consistent with Canada Revenue Authority (CRA) guidance and Canada’s Adjusted Cost Based (ACB) method.
To verify our Australian crypto tax calculation method, Koinly’s software was reviewed by a third party accounting firm. Thorough testing has been done to ensure our FIFO methodology is accurate and aligned with the guidance set out by the Australian Tax Office . Koinly’s Australian Tax Reports have also been reviewed by accountants to ensure they are accurate and contain the required details for accountants when preparing Australian income tax returns.
In Ireland, FPM Accountants Limited reviewed the Koinly Irish tax calculator (completion in March 2023). From their work undertaken they were satisfied that the calculator was compliant with Irish Revenue Commissioners tax guidance (including FIFO and wash sale rules) as at that date.
Crypto tax rules are complex and change quickly but we do our best to address these by staying on top of the world's crypto tax rules and acting fast. Compliance is key, as is managing and maintaining our certifications and security measures. We remain steadfast in our mission to provide you with a secure and compliant cryptocurrency tax solution, giving you peace of mind and confidence in your tax reporting.