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How Basisfyle works

From your first connected wallet to an IRS-ready report — here is the whole journey, step by step.

Step 1 — Connect everything

Start by linking the places your crypto lives. Exchanges connect through read-only API keys, which means Basisfyle can see your trade history but can never place orders or withdraw funds. Self-custody wallets are added by public address only — we never ask for private keys or seed phrases.

  • Connect exchanges like Coinbase, Kraken, Binance.US, and Gemini via read-only API.
  • Add wallet addresses for chains like Bitcoin, Ethereum, and Solana.
  • Upload the 1099-DA forms your brokers sent — we reconcile against them directly.
  • Import CSV files for anything else.

Step 2 — We reconcile the ledger

Once your data is in, the reconciliation engine goes to work. Every disposal is matched to its true acquisition cost across all your accounts — not just the one broker who filed a form.

  • Missing cost basis is recovered. If you bought on one platform and sold on another, we trace the purchase so your gain reflects what you actually paid.
  • Transfers are excluded. Moving crypto between your own wallets is not a taxable event, and our matching keeps it that way.
  • Losses are surfaced. Losing trades on other platforms or in DeFi that never appear on a single broker's form are brought into your totals.
  • Every adjustment is documented. The audit trail records why each number differs from the broker-reported figure.

Where supported, you can choose the cost-basis method that fits your situation — such as FIFO — and see how it affects your outcome before you commit.

Step 3 — Export and file

When the numbers are right, generate your forms:

  • Form 8949 — every disposal listed line by line with proceeds, basis, and gain or loss.
  • Schedule D — totals ready to attach to your return.
  • Filing-software exports — a report formatted for major tax-filing tools, so you don't retype anything.
  • CPA package — a transaction CSV plus the full reconciliation audit trail for your accountant.
Basisfyle is software, not a tax advisor. For questions about your specific situation, consult a qualified tax professional — many CPAs work directly from our reports.

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