I'm wondering if staking rewards, which are earned through participating in blockchain networks by locking up cryptocurrency, are considered tax-free income.
6 answers
CryptoWizardry
Mon Jan 06 2025
Staking rewards, when considered as income, fall under the purview of income tax regulations.
Raffaele
Mon Jan 06 2025
The income tax rate for staking rewards can vary significantly, ranging from a low of 20% to a high of 45%.
Lorenzo
Mon Jan 06 2025
Alternatively, if staking rewards are classified as capital gains, they are taxed differently.
Carolina
Sun Jan 05 2025
Capital gains tax on staking rewards typically ranges from 10% to 20%.
Bianca
Sun Jan 05 2025
The classification of staking rewards as income or capital gains depends on various factors.