Investing in crypto is a mainstream activity for millions of people across the world right now. However, part of the fun of owning a digital currency tends to fade when tax season rolls around. Suddenly, the government takes a real chunk of something that may have felt like pretend money. As many people are still trying to wrap their heads around how to properly deal with their crypto assets, Ledgible offers a tax and accounting solution just for them.
Based in Atlanta, Ledgible is a crypto tax and accounting platform targeted toward professionals, enterprises and consumers. The company announced a $20 million Series A funding round led by EJF Capital that’ll help it expand its team and product offerings. Investors including JAM FINTOP, Thomson Reuters Ventures and TTV Capital also participated in the round.
“For any individuals, institutions or enterprises that hold or deal with crypto assets, the ability to properly account for them and realize the appropriate gain and loss for tax and accounting purposes is essential,” Kell Canty, CEO of Ledgible, said in a statement. “At Ledgible, we provide the platform to bridge the gap between digital assets and traditional finance.”
Made for tax reporting and portfolio tracking for crypto assets, professionals use Ledgible’s platform to determine their crypto liabilities. The platform then sends that data to users’ current accounting systems. Ledgible integrates with several blockchains, cryptocurrency exchanges, wallets and professional accounting tools like Intuit and FIS. Ledgible aims to bridge crypto assets and traditional financial accounting by integrating crypto into users’ tax preparation workflow. The company also features tools for client engagement, tax prep team management as well as tax and transaction reporting.
“We see crypto as both a transformative application of novel technology and the next large investible asset class. Individuals and institutional investors need to be able to integrate and account for this investment and report that to the IRS and certain other regulatory agencies, where applicable,” Jonathan Bresler, a managing director at EJF Capital, said in a statement. “We invested in Ledgible because we see them as the preferred solution to account for digital assets on the blockchain.”
Amid increased demand for its offerings, Ledgible is expanding its solutions and growing its team within professional tax and enterprise accounting. Its latest injection of capital will also go toward fueling expansion as it onboards additional partners and accounting firms.