Loopring is an ETH-based zkRollup layer 2 solution, with the native LRC currency, and aims to allow exchanges to build on it to avoid the slow speeds and high gas fees associated with Ethereum dexes. Whatever your Loopring investments, Koinly can help with your LRC taxes.
To connect Loopring to Koinly, you'll need to find your Loopring public address from all the wallets you use for LRC. Don't worry, this is easy as Koinly supports all the top Loopring wallets including:
Of course, the most popular Loopring wallet is likely the Loopring Wallet App. Getting your public address off this app is easy, just log in to the app and select your wallet address from underneath your LRC wallet name and then copy. You can then paste this into Koinly.
Don't see your wallet? You'll find easy to follow steps on how to get your Loopring public address from hundreds of wallets here.
Don't forget, in order for Koinly to calculate your crypto taxes correctly you’ll need to add your public address from every wallet you use for LRC.
1. The API import may take a few minutes which is normal.
2. Once Koinly and Loopring are connected you may notice a yellow circle next to the Loopring icon in your Koinly Wallet. Koinly has calculated your balances based on the imported transactions but the balances reported by the API aren't quite matching up. Don’t worry, this is easy to fix! See our support article for quick troubleshooting steps.
Problems connecting LRC and Koinly? No worries - we're here to help:
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The taxation of staking rewards very much depends on where you live. However, in general, staking rewards are viewed as income and you'll pay Income Tax on your LRC staking rewards.
This depends on where you live and your tax office, but in general, you'll report any income from crypto - like staking - as part of your annual tax return.
Airdrops are taxed differently depending on where you live. This said, generally you'll pay Income Tax upon receipt of airdrops and Capital Gains Tax if you later dispose of airdropped tokens by selling, swapping or spending them.
Trading LRC for any other crypto - or vice versa - is usually viewed as disposing of an asset. As such, you'll pay Capital Gains Tax on any gain you make as a result of trading LRC.