Blockchain analytics firm Glassnode has said it is dropping crypto tax-related projects to focus on new solutions targeting decentralized finance (DeFi) and institutional investors. As part of this shift, on Nov. 6, Glassnode confirmed the sale of its crypto-focused tax platform known as Accointing to Blockpit, an Australian-based crypto tax software provider.
According to Blockpit CEO Florian Wimmer, it was a “multi-million-dollar” acquisition, all cash and no share swap. The deal was “all financed via debt through our shareholders,” Wimmer added. The transaction came just a year after Glassnode acquired Accointing in October 2022 to introduce tax-reporting compliance tools into its platform.
A spokesperson stated that Glassnode is leaving the crypto tax business by selling Accointing. This move allows the company to concentrate more on providing advanced Digital Asset Intelligence Solutions to its institutional clients. Moreover, the company has spent recent months reshaping its infrastructure to move into DeFi data solutions and explore new areas within the digital asset ecosystem in the future.
The representative further added:
“After having built the leading on-chain data platform for Bitcoin and Ethereum, we are currently expanding our product offering into DeFi. Our aim is to equip Institutions with DeFi data and tools that help them to trade in and navigate the DeFi space.”
EU’s New DAC8 Crypto Tax Regulations
With the acquisition, Blockpit has become one of the leading crypto tax companies in the European market and joins the league of market giants such as CoinTracker and TaxBit. The deal comes ahead of new crypto tax regulations in the EU. Last month, the European Parliament passed the new rules, referred to as the Eighth Directive on Administrative Cooperation (DAC8). These rules make it mandatory for crypto companies to automatically share their customers’ crypto asset information with EU tax authorities. Moreover, DAC8 encompasses many digital assets, including NFTs, stablecoins, DeFi tokens, and proceeds from crypto staking. The rules will take effect in 2025.
Therefore, crypto companies, such as Blockpit, are preparing for the changes and positioning themselves before the deadline. Wimmer said this deal is an important step toward providing top-notch tax solutions to European crypto users.