Hive Tax Observer FAQs

Question 1

What is Hive Tax Observer?

Accepted Answer

Hive Tax Observer is a tool that classifies settled on-chain crypto transactions into four observational kinds: sale, swap, income, or transfer. It helps surface cost-basis-relevant inputs for your own tax tracking systems.

Question 2

Does Hive Tax Observer provide tax advice or file taxes?

Accepted Answer

No, Hive Tax Observer strictly provides observational transaction data derived from on-chain activity. It does not offer tax advice, compute cost basis, generate tax forms, or file taxes. Users should consult a licensed tax professional for compliance decisions.

Question 3

Which blockchain networks does Hive Tax Observer support?

Accepted Answer

The tool supports real-time reads against Base mainnet, Ethereum mainnet, and Solana mainnet, allowing for transaction classification across these major networks.

Question 4

How does Hive Tax Observer classify transactions?

Accepted Answer

Classifications are observational and derived solely from on-chain data. For example, 'sale' is indicated by assets sent out with no offsetting inflow, while 'swap' involves both sending and receiving assets within the same transaction.

Question 5

What cost-basis-relevant information does it provide?

Accepted Answer

Hive Tax Observer surfaces key inputs crucial for cost basis tracking, including the holder, specific asset, transaction amount, counterparty involved, and the timestamp of the transaction.

Hive Tax Observer

Hive Tax Observer

Key Features

Use Cases

Key Features

Use Cases