Personal Finance Mint and Coinbase: Your New Bitcoin Finance Tracker Read the Article Open Share Drawer Share this:Click to share on Twitter (Opens in new window)Click to share on Facebook (Opens in new window)Click to share on Tumblr (Opens in new window)Click to share on Pinterest (Opens in new window)Click to share on LinkedIn (Opens in new window) Written by Mint Published Aug 25, 2020 - [Updated Dec 8, 2020] 3 min read Advertising Disclosure The views expressed on this blog are those of the bloggers, and not necessarily those of Intuit. Third-party blogger may have received compensation for their time and services. Click here to read full disclosure on third-party bloggers. This blog does not provide legal, financial, accounting or tax advice. The content on this blog is "as is" and carries no warranties. Intuit does not warrant or guarantee the accuracy, reliability, and completeness of the content on this blog. After 20 days, comments are closed on posts. Intuit may, but has no obligation to, monitor comments. Comments that include profanity or abusive language will not be posted. Click here to read full Terms of Service. Mint and Coinbase: Your New Bitcoin Finance Tracker Bitcoin, the electronic currency system, allows direct payments from one party to another without the necessity of a financial institution. It is self-governing, and the value of Bitcoin varies, sometimes with substantial volatility. People can use Bitcoin for almost any type of transaction, including online shopping, and paying for goods or services from businesses that accept it as a payment form. You can now find Bitcoin ATMs in a handful of cities in the United States. As with any other form of currency, keeping track of Bitcoin is essential to smart spending and saving. Fortunately, tracking Bitcoin is becoming easier, and the biggest Bitcoin exchange, Coinbase, has recently teamed up with Mint.com to include Bitcoin tracking in a popular personal finance app. Mint is currently the only personal finance app that allows consumers to track their Bitcoin holdings. Now, in addition to having a reliable finance tracker for traditional financial transactions, Bitcoin users can track their Bitcoin value any time on their computer or mobile device. What Is Coinbase? Coinbase is what’s known as a Bitcoin “wallet,” which is a platform with which consumers and businesses can make transactions using bitcoin rather than traditional currency. Coinbase is currently the largest Bitcoin wallet service, hosting over 1 million consumer Bitcoin wallets. Coinbase also provides Bitcoin wallets for 25,000 merchants, and that number is rapidly growing. Coinbase wallets are stored using AES-256 encryption, and the company stores up to 97% of its customer funds offline in bank vaults to prevent theft. Coinbase’s sensitive user data is disconnected from the internet, and its drives and paper backups are stored redundantly in several safety deposit boxes and vaults worldwide for safety and security. Why Is Tracking Bitcoin Complicated? Instead of having one entity tracking Bitcoin transactions, the entire Bitcoin network tracks them, in order to make theft or double-spending practically impossible. Though the Internal Revenue Service (IRS) hasn’t yet said much about Bitcoin, the General Accounting Office says that gains in Bitcoin are subject to taxation. Some people are paid their salaries in Bitcoin, and reporting can be complex. For example, if someone is paid in Bitcoin, it is worth a certain amount of US dollars at that time. But if the employee then decides to sell his Bitcoin for a profit, that profit is considered capital gain. Therefore careful tracking of Bitcoin is critical in order to accurately report gains or losses at tax time. Having a reliable finance tracker is essential to accounting for Bitcoin as it intersects with traditional currency. Treating Your Bitcoin as an Investment Because Bitcoin trading can produce large swings in the dollar equivalent of one Bitcoin, you should never convert money you can’t afford to lose into Bitcoin. While some people have profited handsomely by holding onto Bitcoin and watching its value go up, others have lost substantial sums. People who used a Bitcoin exchange called Mt. Gox recently watched the value of their bitcoin essentially disappear overnight when a software glitch allowed criminals to dupe the exchange. Whether these people will ever get any of it back is not yet known. Choosing your Bitcoin wallet provider carefully can help you be confident that your investment will only be subject to the inherent volatility of Bitcoin, and won’t become the object of fraud. Coinbase has a strong reputation as a solid exchange for people who want to buy or sell Bitcoin. Now that Mint allows bitcoin users to track their Coinbase transactions, consumers can easily view their Bitcoin wallet balance alongside their regular banking, investment, and credit card accounts. The app automatically converts the Bitcoin account balance to its current equivalent in US dollars so that Bitcoin owners know how much their wallet is worth at any time. Bitcoin is far enough into the mainstream that everyday consumers are starting to use it in an increasing number of transactions. Keeping track of Bitcoin transactions is just as important as keeping track of traditional money transactions. People who use a sound, proven finance tracker like Mint.com and a respected Bitcoin platform like Coinbase can now do that conveniently and easily. Previous Post How to Get the Most out of Personal Finance Software Next Post Teenage Money Management (Tips on Personal Finance for Teens) Written by Mint Mint is passionate about helping you to achieve financial goals through education and with powerful tools, personalized insights, and much more. More from Mint Browse Related Articles Mint App News Intuit Credit Karma welcomes all Minters! Retirement 101 5 Things the SECURE 2.0 Act changes about retirement Home Buying 101 What Are Homeowners Association (HOA) Fees and What Do … Financial Planning What Are Tax Deductions and Credits? 20 Ways To Save on… Financial Planning What Is Income Tax and How Is It Calculated? Investing 101 The 15 Best Investments for 2023 Investing 101 How To Buy Stocks: A Beginner’s Guide Investing 101 What Is Real Estate Wholesaling? 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