What is the definition of crypto assets?

What is the definition of crypto assets?

There is no universally accepted definition to define what constitutes crypto assets. Accounting standards setters and regulatory agencies have defined the scope of crypto assets from their respective perspectives.

Accounting standardsFinancial regulationTax regulation


  1. A digital or virtual currency recorded on a distributed ledger that uses cryptography for security,

  2. Not issued by a jurisdictional authority or other party, and

  3. Does not give rise to a contract between the holder and another party.

Monetary Authority of Singapore: Referring to the standards of the Financial Action Task Force (FATF) on anti-money laundering.

  1. A digital representation of value

  2. Can be traded or transferred digitally

  3. Used for payment or investment purposes

Inland Revenue Authority of Singapore: Any value that can be electronically transmitted, stored or traded in crypto or digital form. (The Inland Revenue Authority of Singapore categorizes digital currencies into three types: payment tokens, utility tokens and security tokens.)

Hong Kong SFC and Monetary Authority: Refer to the standards of the Financial Action Task Force (FATF) on anti-money laundering.

Hong Kong Inland Revenue Department: Digital assets are digital representations of value that can be transferred, stored or traded electronically.


  1. Meet the definition of intangible asset as defined in the Codification Master Glossary

  2. Do not provide the asset holder with enforceable rights to, or claims on, underlying goods, services, or other asset

  3. Are created or reside on a distributed ledger based on blockchain technology

  4. Are secured through cryptography

  5. Are fungible

  6. Are not created or issued by the reporting entity or its related parties.

U.S. SEC and CFTC: Any assets issued and/or transferred through distributed ledger or blockchain technology.

The US Internal Revenue Service: Any digital representation of value recorded on a distributed ledger technology that is secured through cryptography. Digital assets include (but are not limited to):

  1. Convertible virtual currency and cryptocurrency

  2. Stablecoins

  3. Non-fungible tokens (NFTs)

Frequently Asked Questions

Accounting standardsFinancial regulationTax regulation

Is stablecoin considered crypto assets?

It depends on the mechanism of the stablecoin.

Is packaging token considered crypto assets?

Is token issued by the reporting entity considered crypto assets?

Is NFT considered crypto assets?

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