How To Do Your Sorare Taxes With Koinly
Blockchain technology meets fantasy sports in the form of Sorare. Sorare lets you buy, sell, trade, collect, and win official MLB NFTs, which you can use to play and compete with in their fantasy tournaments, with some big prizes up for grabs - but your Sorare trades might just come with a surprise tax bill. Don't worry, you can connect to Koinly to calculate any tax liability. Here's how.
Follow these steps to sync your Sorare (SorareTools) data automatically to Koinly:
- Log in to your Sorare account.
- In the bottom right corner, click the Settings icon.
- Under API Keys, select Generate API Key.
- Copy the API key and paste it into the field in Koinly.
- Create a free account on Koinly
- Complete onboarding until you get to the Wallets page and find Sorare (SorareTools) in the list
- Select API > Paste the API keys you copied above in the appropriate box
- Hit Import and wait for Koinly to sync your data. This can take a few minutes
- Review your transactions on the Transactions page to ensure everything is tagged correctly and no missing data
- Go to the Tax Reports page to view your tax liability!
Your frequently asked questions
What is Sorare?
Sorare is a fantasy sports game where players use digital player cards (NFTs) to buy, sell, trade, and manage a virtual team. Players can pick between football, basketball, and baseball and participate in tournaments and win rewards like player cards, merch, match tickets, ETH, and more.
Is Sorare legit?
Yes. Sorare is a popular crypto game played by users across the world and has a good reputation for paying out rewards. Of course, as with all crypto assets, you should make sure your assets are secure by following best security practices.
Do I have to pay taxes on Sorare?
Yes, in most countries in the world crypto - and NFTs - are taxable. You can check out the rules for your country in our crypto tax guides, but generally speaking, you'll pay Capital Gains Tax on any gain when you sell or trade and NFT and you may need to pay Income Tax on rewards.
Can you make money with Sorare?
Yes. You can win cards in Sorare and sell them on the secondhand market, as well as win rewards for participating in tournaments.
Does Sorare provide tax reports?
No, Sorare does not provide users with tax reports - but you can connect to crypto tax software like Koinly to help you calculate your Sorare taxes and generate a tax report.
What is the most expensive Sorare card sold?
The most expensive Sorare card sold was Erling Haaland. It sold for 265.10 ETH, worth $678,680 at the time of the sale!