Crypto Tax Abroad
US tax treatment of cryptocurrency for expats — FEIE doesn't help, FBAR on foreign exchanges, staking income, DeFi, and host-country tax interaction.
Crypto Transactions
Additional Income
Crypto Rules for US Expats
FEIE Does NOT Cover Crypto: Crypto gains are investment income, not earned income. FEIE only excludes foreign earned income. Crypto gains are fully taxable regardless of where you live.
FBAR on Foreign Exchanges: The IRS/FinCEN position is evolving, but foreign crypto exchange accounts (Binance, Kraken non-US, etc.) likely need to be reported on FBAR if aggregate balance exceeds $10,000.
Staking = Ordinary Income: Staking rewards are taxed as ordinary income at FMV when received. This is in addition to capital gains when eventually sold.
Host Country Matters: Portugal (no crypto tax for individuals — until recent changes), Germany (tax-free after 1 year hold), UAE (no tax), Singapore (no CGT) — but you still owe US tax.