Accounting procedure for operations with cryptocurrency as a variety of virtual assets

Abstract

The article examines the procedure for accounting transactions with cryptocurrency as a special type of asset. Circulation of cryptocurrency in Ukraine currently does not have proper legislative regulation, and the Law of Ukraine "On Virtual Assets" adopted in 2022 has not yet entered into force. There is no proper legal provision for accounting and taxation of transactions with cryptocurrency carried out by business entities taking into account the advantages of using a decentralized means of circulation. Solving the issue of proper accounting of cryptocurrency and operations with it will contribute to the unshadowing the economy and the receipt of taxes to the state budget.
 It has been established that cryptocurrency can exhibit characteristics of goods, cash and their equivalents, financial instruments, investment real estate, intangible assets, shares, etc. With this in mind, the article analyzes permissible options for classifying cryptocurrency and operations with it to specific classes of accounting accounts based on international and national accounting regulations (standards).
 The European practice of accounting for operations with cryptoassets is analyzed, which is based on two options for accounting for cryptocurrencies: as an intangible asset or as stocks. It was concluded that in the absence of a single methodical approach to the issues of proper accounting of cryptocurrency and operations with it, it is necessary to use international accounting standards and recommendations for accounting of cryptocurrency developed on their basis as an intangible assets (if it is held for sale in the everyday economic activity) or stocks (if held for the purpose of obtaining an investment profit from resale). The purpose of its use by the business entity should be the basis for selecting the recommended accounting options for cryptocurrency as a virtual asset.