Not too long ago, the hype around digital currencies exploded,
with bitcoin being the flagship cryptocurrency in popular
conversation. Everyone raved about the new payment instrument which
would swiftly conquer the financial world. Even if all that has
cooled off somewhat now, digital currencies have not gone
anywhere—indeed, they are spreading, with 100,000+ retailers
worldwide accepting them.
Early this year, Japanese bitcoin exchange Bitflyer received its payment institution
licence from the CSSF, becoming the European hub for the
international trading of the cryptocurrency. In Luxembourg,
Bitflyer is second in size only to Bitstamp, which is another major
exchange.
With this rise, accountants are asking—and being
asked—what bookkeeping for digital currencies should look
like. It's an excellent question, and one relevant not just to
accountants but also to investors interested in finding
cryptocurrency information in financial statements.
