We build robust, dedicated APIs that serve as the critical link between your application and the blockchain. Our solutions deliver sub-100ms response times, 99.9% uptime SLAs, and handle thousands of requests per second to ensure your user experience is never compromised by infrastructure.
Staking & Delegation Reward Tax Automation
Blockchain API Development
Custom, high-performance APIs to connect your application to any blockchain network.
Stop wrestling with rate limits and unreliable nodes. We provide the enterprise-grade data layer your product needs to scale.
- Multi-Chain Support: Unified endpoints for
EVMchains (Ethereum, Polygon, Arbitrum),Solana, andCosmos SDKnetworks. - Real-Time Data: WebSocket streams for transactions, blocks, and event logs with <1 second latency.
- Enhanced Indexing: Custom data views for NFTs, token balances, DeFi positions, and complex smart contract states.
- Developer-First Design: Full
OpenAPI/Swaggerdocumentation, SDKs, and 24/7 technical support.
Core Capabilities of Our Tax Automation Engine
Our platform automates the entire lifecycle of staking and delegation reward taxation, eliminating manual errors and ensuring continuous compliance across jurisdictions.
Real-Time Reward Aggregation
Automatically aggregates staking and delegation rewards from over 50+ supported protocols (Ethereum, Solana, Cosmos, etc.) into a single, reconciled ledger. Eliminates manual data entry and spreadsheet errors.
Automated Cost Basis & Gain/Loss
Calculates precise cost basis, market value at receipt, and realized gains/losses for every reward event using FIFO, LIFO, or HIFO accounting methods. Handles complex events like slashing and airdrops.
Jurisdiction-Specific Tax Reporting
Generates ready-to-file tax forms (IRS Form 8949, Schedule D, international equivalents) tailored to specific regulatory requirements in the US, EU, UK, and APAC regions.
Enterprise-Grade Security & Audit Trail
All financial data is processed with bank-level encryption (AES-256). Every calculation is logged to an immutable audit trail, providing full transparency for internal and regulatory reviews.
Continuous Compliance Monitoring
Our system monitors for regulatory updates across key markets and automatically adjusts calculation logic. Proactive alerts notify you of changes affecting your tax liability.
Business Outcomes: Beyond Compliance
Automating staking tax compliance is just the start. Our solutions deliver measurable operational and financial improvements that directly impact your bottom line and competitive position.
Reduced Operational Overhead
Eliminate manual data aggregation and reconciliation for thousands of user wallets. Our system automates reward tracking, cost-basis calculations, and report generation, freeing your team to focus on product development.
Enhanced User Trust & Retention
Provide users with transparent, audit-ready tax reports directly within your platform. This builds critical trust, reduces support tickets related to tax confusion, and increases long-term user loyalty.
Scalable Infrastructure
Our system scales seamlessly with your user base and TVL. Handle millions of reward events across multiple protocols (Ethereum, Solana, Cosmos) without performance degradation or increased engineering burden.
Faster Time-to-Market
Deploy a fully integrated, battle-tested tax automation module in weeks, not months. Avoid the 6-12 month development cycle and associated security risks of building in-house.
Actionable Financial Insights
Gain a clear, real-time view of user reward yields, protocol performance, and revenue streams. Use this data to inform product decisions, marketing strategies, and treasury management.
Future-Proof Compliance
Stay ahead of evolving global regulations (FATF, MiCA, DAC8) with automatic updates. Our legal and technical team continuously monitors changes, ensuring your platform remains compliant without requiring code changes.
Build vs. Buy: Tax Reporting for Staking Rewards
A detailed comparison of the cost, time, and risk involved in developing a compliant tax reporting system in-house versus implementing Chainscore's proven solution.
| Key Factor | Build In-House | Buy with Chainscore |
|---|---|---|
Time to Production | 6-12+ months | 4-8 weeks |
Initial Development Cost | $150K - $400K+ | $25K - $75K |
Ongoing Annual Maintenance | $80K - $200K (team) | Optional SLA from $15K/year |
Security & Audit Overhead | High (unaudited, custom code) | Low (pre-audited, battle-tested modules) |
Coverage: Protocols & Chains | Limited to initial scope | 30+ chains, 100+ protocols (PoS, DeFi, LSTs) |
Regulatory Compliance | Your liability (IRS, MiCA, etc.) | Our liability with compliance-first design |
Data Accuracy Guarantee | None (your responsibility) | 99.9% transaction reconciliation SLA |
Team Expertise Required | Tax specialists, blockchain devs, QA | Your integration engineer + our experts |
Feature Updates | Manual, lagging behind market | Automatic, includes new protocols & rules |
Total Cost of Ownership (3 Years) | $390K - $1.2M+ | $70K - $240K |
Our Implementation Process
A structured, transparent workflow designed for FinTechs and crypto startups. We deliver production-ready tax automation, minimizing your team's operational overhead and ensuring compliance from day one.
Discovery & Architecture
We analyze your staking/delegation setup and tokenomics to design a tailored data ingestion and calculation pipeline. This includes defining reward sources (PoS, liquid staking, DeFi) and mapping to your jurisdiction's tax rules.
Smart Contract Integration
Our engineers deploy secure, audited smart contracts to automate reward tracking on-chain. We implement event listeners for real-time data capture from staking pools and validator nodes, ensuring an immutable audit trail.
Tax Logic Engine Setup
We configure the core calculation engine with your specific tax treatment rules (e.g., FIFO, LIFO, HIFO for cost basis). The system automatically classifies rewards as income and calculates liabilities across multiple fiat currencies.
Reporting & Compliance Export
We implement automated report generation in formats required by regulators (e.g., IRS Form 8949, CSV for accountants). The system provides a clear dashboard for internal review and one-click export for tax filing.
Security Audit & Penetration Testing
Every deployment undergoes a final security review. We conduct internal audits of the full stack—smart contracts, data pipeline, and access controls—to protect sensitive financial data before go-live.
Deployment & Knowledge Transfer
We manage the production deployment and provide comprehensive documentation and training for your finance and engineering teams. Includes ongoing support SLAs for maintenance and regulatory updates.
Blockchain Infrastructure & Node Management
Fully managed, high-performance blockchain infrastructure to power your Web3 applications.
We provide dedicated, auto-scaling node clusters for major protocols like Ethereum, Polygon, and Solana. Our infrastructure delivers >99.9% uptime SLA, sub-second RPC latency, and enterprise-grade security with DDoS protection and private endpoints.
Deploy production-ready nodes in hours, not weeks, with 24/7 monitoring and expert support.
Our managed services eliminate the operational burden:
- Automated deployment & scaling for
EVM,Cosmos, andSolanachains. - Real-time health monitoring with alerts for sync status and performance.
- Secure, compliant infrastructure in SOC 2 Type II certified data centers.
- Archive node access for full historical data without the storage overhead.
Focus on building your application while we handle the infrastructure complexity. We ensure predictable costs, eliminate node maintenance headaches, and provide the reliability required for financial applications and high-volume dApps.
Frequently Asked Questions
Get clear answers on how our automated tax reporting solution integrates with your platform and simplifies compliance for your users.
We provide a secure, non-custodial API that connects directly to your validator infrastructure and on-chain data sources. Integration typically involves: 1) API key setup for read-only access to staking events, 2) Webhook configuration for real-time reward notifications, and 3) embedding our user-facing tax dashboard or using our widget SDK. Our engineers handle the full integration, which usually requires 1-2 weeks of development time on your end.
Get In Touch
today.
Our experts will offer a free quote and a 30min call to discuss your project.