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AICPA updates practice guidance for digital assets

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AICPA updates practice guidance for digital assets

The American Institute of CPA (AICPA) has revised its guide, the Practice aid, accounting and auditing of digital assetsto align with the latest updates from the Financial Accounting Standards Board (FASB) on digital assets.

The updated practice aid now includes a new definition for digital assets, addresses new accounting questions and introduces new terms, reflecting changes from the FASB’s recent Accounting Standards Update (ASU) No. 2023-08.

The guide is tailored for users with an understanding of blockchain technology and is based on US GAAP and GAAS for non-governmental entities.

One of the key questions addressed in the practice aid is the inclusion of “wrapped tokens” and non-fungible tokens (NFTs) within the scope of FASB ASC 350-60.

It also clarifies whether transaction costs for acquiring intangible crypto assets should be included in the initial valuation and how gains and losses from revaluation and sales should be presented in the income statement.

Now that the entire practice resource has been updated to reflect the new terminology, these terms have also been published in the AICPA Blockchain Universal Glossary.

AICPA and CIMA senior manager of emerging insurance technologies Di Krupica said: “Digital assets continue to be a rapidly changing and growing practice area, as well as a major area of ​​opportunity for accounting professionals.

“The January 2025 updates for the Digital asset practice aid will help professionals stay abreast of current, timely updates from the FASB, which we consider of the utmost importance. The new content provides important answers to emerging accounting questions emerging from the professional community, and future updates will continue to disseminate the most relevant information as it becomes available.”

This update follows a 2024 AICPA and CIMA Economic Outlook Survey showing increased optimism among U.S. business leaders following the presidential election.

“AICPA Updates Practice Aid for Digital Assets” was originally created and published by The Accountant, a brand owned by GlobalData.


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