Half of US crypto owners skip IRS reporting as study of 17M taxpayers exposes massive compliance gap

Bloomberg •

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A study by Hoopes, Menzer, and Wilde analyzing IRS data from 2013–2021 found that while 12–21% of US adults own crypto, only about 6.5% of taxpayers actually report transactions — meaning roughly half of all crypto holders are dodging their tax obligations. Those who do report tend to be younger, lower-income, and less financially sophisticated, suggesting the bigger players are the ones slipping through. The findings land right as new Form 1099-DA rules kick in for the 2025 tax year, requiring exchanges to report gross proceeds directly to the IRS for the first time.

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