🌍 Everywhere · 6 min
Lost, stolen or scammed crypto: can you deduct it?
Hacks, rug pulls, lost seed phrases or a bankrupt exchange: when a loss counts for tax, and what evidence you need.
Losing crypto hurts, but how it is treated for tax depends on how it happened — and above all on evidence.
The common cases
A hack or theft from a wallet, a scam or rug pull where the token becomes worthless, a lost seed phrase, and an exchange going bankrupt. Tax offices treat them differently.
The burden of proof is yours
'I lost my keys' is not enough. You need on-chain transactions, a police report for theft or fraud, correspondence with the platform and, in a bankruptcy, your claim in the proceedings.
Worthless tokens
A token worth nothing that still sits in your wallet is often not yet considered disposed of. A real sale or transfer that records the loss is frequently the cleanest solution.
Denmark and Greece
In Denmark a loss can generally only be deducted in Rubrik 58 when it is final and documented. Greece has no specific rule for lost crypto; recognising a loss requires a documented disposal or a definitive loss.
Clean up your history
Record the loss with a date and reason so your year-end balances match and no unexplained coins remain. That helps a great deal if you are ever asked.