More than half of cryptocurrency investors don’t understand the fundamental concept of taxability when it comes to their digital asset holdings, according to a survey by the U.S.-listed crypto exchange Coinbase (COIN) and Cointracker, a crypto tax and portfolio tracking platform.

The 2026 Crypto Tax Readiness Report found that only 49% correctly understand that crypto is taxable anytime it is sold, while almost a quarter mistakenly believe simple transfers trigger tax events.

Despite the majority of users having good intentions when it comes to crypto tax compliance, the multi-platform reality of crypto ownership exacerbates the so-called cost basis problem, deducting the original purchase price of an asset to report capital gains.

The…