Wallet Legal & Tax Reporting

overview

FULL-STACK ENGINEERING

Custom Blockchain Development

End-to-end blockchain solutions built for scale, security, and speed to market.

We architect and build custom blockchain infrastructure tailored to your business logic. From private consortium chains for enterprises to high-throughput L2 solutions for DeFi, we deliver production-ready systems.

Core Protocol Development: Custom EVM-compatible chains, Substrate-based parachains, and Cosmos SDK app chains.
Smart Contract Suites: Secure Solidity/Rust development with formal verification and multi-audit processes.
Node Infrastructure: Managed validators, RPC endpoints, and indexers with 99.9% uptime SLAs.
Integration APIs: Seamless Web2-Web3 bridges and custom Graph subgraphs for real-time data.

Deploy a fully functional, audited blockchain network in 6-8 weeks, not quarters. We handle the complexity so you can focus on product.

key-features-cards

AUTOMATED & AUDITABLE

Core Compliance Engine Capabilities

Our engine automates the complex legal and tax workflows for digital asset wallets, turning regulatory overhead into a competitive advantage. Built for scale, security, and seamless integration.

Real-Time Tax Lot Accounting

Automated FIFO, LIFO, and HIFO cost-basis tracking across all transactions. Generates Form 8949-ready reports and integrates with major tax software (TurboTax, CoinTracker).

Automated FATCA/CRS Reporting

Generates FATCA (Form 8966) and Common Reporting Standard (CRS) XML files for global tax authorities. Handles entity classification, self-certification workflows, and jurisdictional rules.

Transaction Monitoring & AML

Real-time screening against global sanctions lists (OFAC) and risk-based monitoring for suspicious activity. Creates immutable audit trails for examiners and internal compliance teams.

Custom Rule Engine for Jurisdictions

Define and enforce region-specific compliance logic (e.g., EU's MiCA, US state money transmitter laws). Dynamic rule sets update automatically with regulatory changes.

Immutable Compliance Ledger

Every compliance action—from a KYC check to a reported transaction—is cryptographically signed and stored on an immutable ledger, providing a defensible audit trail for regulators.

Developer-First API Integration

RESTful APIs and webhooks for seamless integration into your existing wallet or exchange stack. Includes comprehensive documentation, SDKs, and a sandbox environment.

benefits

STRATEGIC ADVANTAGES

Business Outcomes: Beyond Checking a Box

Our Wallet Legal & Tax Reporting service delivers more than compliance. It provides the data integrity and operational clarity needed to scale confidently, reduce risk, and unlock new business opportunities.

Audit-Ready Financials

Generate IRS-compliant Form 8949 and capital gains reports with full transaction-level traceability. Pass financial audits with a complete, immutable record of all wallet activity, eliminating reconciliation headaches.

100%

IRS Compliance

Full Audit Trail

Transaction History

Investor & Board Confidence

Provide transparent, professional-grade reporting to stakeholders. Demonstrate rigorous financial controls and regulatory diligence, strengthening trust with investors, boards, and enterprise partners.

Real-Time

Portfolio Dashboards

GAAP-Aligned

Reporting Standards

Operational Efficiency at Scale

Automate the classification and reporting of complex DeFi, NFT, and staking transactions. Replace manual spreadsheet tracking with automated pipelines, freeing your team to focus on growth.

90%

Time Saved on Reporting

Zero Manual Entry

Automated Workflow

Proactive Risk Mitigation

Identify and address tax liabilities and regulatory exposures before they become problems. Our system flags wash sales, airdrop income, and other complex events for proactive management.

Early Warning

Liability Alerts

Compliance-First

Design Philosophy

Foundation for Future Products

Leverage clean, structured on-chain data to power new features like automated tax-loss harvesting, yield optimization analytics, or institutional-grade custody reports.

Structured API

Data Access

Product-Ready

Data Layer

Enterprise-Grade Security & Sovereignty

Maintain full control of your private keys and sensitive financial data. Our non-custodial reporting tools operate on encrypted data feeds, never requiring direct wallet access.

Non-Custodial

Architecture

SOC 2 Type II

Security Framework

A Cost-Benefit Analysis for CTOs

Build vs. Buy: The Compliance Integration Dilemma

Comparing the total cost, risk, and time investment of developing a custom legal & tax reporting engine versus implementing Chainscore's managed service.

Key Factor	Build In-House	Chainscore Managed Service
Initial Development Time	6-12 months	4-8 weeks
Regulatory Coverage	Manual research & updates	Pre-built for 50+ jurisdictions
Security & Audit Risk	High (custom, unaudited code)	Low (audited, battle-tested system)
Ongoing Maintenance	1-2 FTEs for updates & monitoring	Fully managed with 99.9% SLA
Integration Complexity	High (APIs, data pipelines, logic)	Low (single API, plug-and-play)
Time to First Audit	Months of preparation	Pre-configured reports ready in days
Total 1st Year Cost	$250K - $600K+	$75K - $200K
Scalability	Requires re-architecting	Handles 1M+ users out-of-the-box
Expertise Required	Tax lawyers, compliance, DevOps, security	Your existing engineering team

how-we-deliver

PREDICTABLE, TRANSPARENT PROCESS

Our Integration Methodology: From Scoping to Go-Live

A structured, client-centric framework designed to deliver compliant wallet reporting solutions with zero surprises. We manage the technical and regulatory complexity so you can focus on your core product.

Discovery & Scoping

We conduct a deep-dive technical audit of your wallet architecture and user flows to define precise compliance requirements for your target jurisdictions. This phase establishes a clear roadmap and fixed project scope.

1-2 weeks

Typical Duration

Fixed Scope

Deliverable

Architecture & Design

Our engineers design a non-invasive integration blueprint. We specify secure data ingestion points, define the transaction enrichment logic, and map outputs to required tax forms (e.g., Form 8949, Airdrop/Drop reporting).

SOC 2 Type II

Design Standard

Non-Invasive

Integration Principle

Development & Integration

We build and integrate the reporting engine using battle-tested libraries. Implementation includes automated cost-basis calculation (FIFO, LIFO, HIFO), DeFi activity classification, and secure data pipeline setup to our processing layer.

Solidity 0.8+

Code Standard

Automated

Calculation Engine

Testing & Compliance Review

Every integration undergoes rigorous testing: unit tests for calculation logic, integration tests with live chain data, and a final review against the latest IRS guidelines and international standards to ensure reporting accuracy.

100% Coverage

Unit Test Goal

IRS Guidelines

Compliance Check

Staging & Client Validation

We deploy the solution to a staging environment mirroring production. Your team validates the end-to-end user experience, report outputs, and data accuracy before approving the go-live.

Full Sandbox

Environment

Client Sign-Off

Gate to Launch

Production Deployment & Support

Managed go-live with zero downtime. Post-launch, we provide ongoing support, monitoring, and updates for regulatory changes. Includes SLA-backed uptime for the reporting service.

99.9% Uptime

Production SLA

24/7 Monitoring

Post-Launch

Expert Guidance for Compliance