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Free 30-min Web3 Consultation
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Smart Contract Security Audits
View Audit Services
Custom DeFi Protocol Development
Explore DeFi
Full-Stack Web3 dApp Development
View App Services
Free 30-min Web3 Consultation
Book Consultation
Smart Contract Security Audits
View Audit Services
Custom DeFi Protocol Development
Explore DeFi
Full-Stack Web3 dApp Development
View App Services
Free 30-min Web3 Consultation
Book Consultation
Smart Contract Security Audits
View Audit Services
Custom DeFi Protocol Development
Explore DeFi
Full-Stack Web3 dApp Development
View App Services
LABS
Services

Automated Capital Gains Calculation for Spend Transactions

A dedicated calculation engine that tracks cost basis and automatically computes capital gains or losses in real-time when a user spends or uses crypto assets for payments, providing instant liability figures.
Chainscore © 2026
overview
PROTOCOL ENGINEERING

Custom Blockchain Development

Build secure, scalable blockchain networks and protocols tailored to your specific business logic.

We architect and deploy bespoke blockchain solutions from the ground up, including private/permissioned networks, L2 rollups, and application-specific chains. Our team handles the full stack, from consensus mechanism design (PoS, PoA) to node infrastructure and governance frameworks.

Deliver a production-ready network in 8-12 weeks, not quarters. We focus on performance and security from day one.

  • Core Protocol Development: Design and implement custom consensus, tokenomics, and on-chain logic using Rust, Go, or Solidity.
  • Layer 2 & Scaling: Build Optimistic or ZK rollups, sidechains, and state channels to achieve >10,000 TPS with minimal fees.
  • Full Node & Validator Suite: Deploy and manage secure, high-availability node infrastructure with 99.9% uptime SLAs.
  • Post-Launch Support: Ongoing maintenance, upgrades, and monitoring to ensure network stability and security.
key-features-cards
POWERING COMPLIANT SPENDING

Core Engine Capabilities

Our automated engine delivers precise, real-time capital gains calculations for every transaction, eliminating manual work and compliance risk. Built for the complexity of Web3 spending.

01

Real-Time FIFO/LIFO/HIFO Calculation

Automatically applies your chosen cost-basis method (FIFO, LIFO, HIFO) to every spend transaction in real-time. Ensures consistent, auditable calculations for tax reporting and portfolio tracking.

< 100ms
Calculation Latency
100%
Audit Trail
02

Multi-Chain & Multi-Asset Support

Seamlessly tracks cost basis across Ethereum, Solana, Polygon, and 15+ other EVM & non-EVM chains. Handles native tokens, ERC-20s, SPL tokens, and NFTs in a unified ledger.

15+
Chains Supported
10,000+
Assets Tracked
03

Automated Price Oracle Integration

Integrates with decentralized (Chainlink, Pyth) and centralized price feeds to pull accurate, time-stamped USD valuations for cost-basis and gain/loss calculations at the moment of each transaction.

99.5%
Price Feed Uptime
1 sec
Price Resolution
04

Granular Transaction Categorization

Intelligently categorizes transactions (e.g., DeFi swap, NFT purchase, merchant payment) to apply the correct tax treatment and reporting logic, reducing manual review by your finance team.

20+
Transaction Types
95%
Auto-Categorization Accuracy
05

Enterprise-Grade Data Pipeline

A resilient, idempotent ingestion system that processes millions of transactions with guaranteed delivery. Built-in reconciliation ensures your financial data is always complete and accurate.

99.9%
Data Uptime SLA
< 5 min
Data Freshness
06

Regulatory Compliance Framework

Engine logic is designed with IRS guidelines, IFRS standards, and evolving global crypto tax regulations in mind. Provides the detailed data lineage required for audits.

IRS
Guidelines Addressed
SOC 2
Compliance Ready
benefits
DELIVERABLES

Business Outcomes & Value

Our automated capital gains calculation service delivers concrete business results, reducing operational overhead and unlocking new revenue streams for your fintech or crypto application.

01

Compliance Automation

Eliminate manual tax reporting errors and ensure adherence to IRS Form 8949, FIFO/LIFO/HIFO standards. Our system provides auditable transaction trails for every spend event.

100%
IRS Compliance
0 Manual Errors
Guaranteed
02

Developer Velocity

Integrate a production-ready tax engine via a single API. We handle the complexity of cost-basis tracking across wallets and tokens, so your team can focus on core features.

< 2 Weeks
Integration Time
1 API
Unified Endpoint
03

Cost Basis Accuracy

Precisely track acquisition prices and calculate gains/losses for every transaction—from simple swaps to complex DeFi interactions—ensuring users have a clear financial picture.

Sub-cent
Precision
Real-time
Sync
04

User Retention & Trust

Provide customers with transparent, accurate tax reporting directly within your app. This builds trust, reduces support tickets, and becomes a key retention feature.

90%
Support Ticket Reduction
Key Feature
For Retention
05

Scalable Infrastructure

Our system is built to handle millions of transactions with 99.9% uptime. We manage the data pipeline, indexing, and calculations, so you don't have to.

99.9%
Uptime SLA
Millions
TXs Processed
06

Revenue Enablement

Monetize tax services directly or bundle them into premium subscription tiers. Automated reporting transforms a compliance burden into a new, predictable revenue stream.

New ARPU
Stream Created
Premium Tier
Upsell Driver
The Infrastructure Decision for FinTechs

Build vs. Buy: Automated Capital Gains Calculation

A technical and financial comparison of developing a compliant capital gains engine in-house versus partnering with Chainscore's managed service.

FactorBuild In-HouseChainscore Managed Service

Time to Initial Deployment

6-12 months

4-8 weeks

Initial Development Cost

$250K - $600K+

$50K - $150K

Annual Maintenance & Updates

$150K - $300K

$30K - $75K (SLA)

Compliance Coverage (IRS, HMRC, etc.)

Manual research & risk

Pre-built, audited logic

Security & Audit Burden

High (unaudited custom code)

Low (pre-audited, battle-tested)

Real-time FIFO/LIFO/HIFO Calculations

Custom implementation

Out-of-the-box, configurable

Multi-Chain & Multi-Asset Support

Per-chain integration cost

Included (EVM, Solana, etc.)

Team Requirements

2-3 Sr. Engineers + Tax Specialist

Your integration engineer

Uptime & Reliability SLA

Your infrastructure team

99.9% with monitoring

Handles Wash Sales & Complex Events

High development complexity

Pre-built logic for edge cases

how-we-deliver
SEAMLESS DEPLOYMENT

Our Integration & Delivery Process

A structured, transparent process designed for technical teams. We deliver a production-ready capital gains engine integrated into your existing stack, minimizing disruption and maximizing speed.

01

1. Discovery & Schema Design

We analyze your transaction data model and user flows to design a precise, performant calculation schema. This ensures accurate cost-basis tracking for every spend, from simple swaps to complex DeFi interactions.

1-2 days
Kickoff to Design
100%
Schema Coverage
03

3. Data Validation & Reconciliation

We run a full historical sync of your user wallets, validating our calculations against your existing records. This phase identifies and resolves any data discrepancies before go-live.

100%
Data Accuracy
24/7
Monitoring
04

4. Staging & Compliance Review

Deploy the complete solution in your staging environment. We conduct final compliance checks for tax lot accounting methods (FIFO, LIFO, HIFO) and generate audit-ready reports for your review.

IRS/FINRA
Compliant
Real-time
Report Generation
05

5. Production Launch & Support

We manage the production cutover and provide ongoing technical support. Your engineering team receives full documentation, dashboards for system health, and priority access to our engineers.

< 2 weeks
Total Timeline
24h
Support Response SLA
Automated Capital Gains for Spend

Frequently Asked Questions

Get clear answers on how our API automates tax calculations for crypto payments, withdrawals, and merchant settlements.

Our engine uses a FIFO (First-In, First-Out) methodology by default, which is the standard for many jurisdictions. We ingest your full transaction history to accurately track the acquisition cost of every asset. For each spend (e.g., paying with USDC, selling crypto for fiat), the system automatically identifies the specific lots being disposed of, calculates the gain or loss based on their original purchase price, and generates an auditable report. We support Specific Identification (SpecID) for enterprise clients upon request.

ENQUIRY

Get In Touch
today.

Our experts will offer a free quote and a 30min call to discuss your project.

NDA Protected
24h Response
Directly to Engineering Team
10+
Protocols Shipped
$20M+
TVL Overall
NDA Protected Directly to Engineering Team