What is the OECD’s Crypto-Asset Reporting Framework (CARF)?
The Crypto-Asset Reporting Framework (CARF) is a global tax transparency standard developed by the Organisation for Economic Co-operation and Development (OECD). It requires crypto-asset service providers, like exchanges, brokers, and certain wallet providers, to collect and report customer information to tax authorities. This information is then shared across jurisdictions under international agreements, similar to how the Common Reporting Standard (CRS) works for traditional financial accounts.
The EU implemented CARF with DAC8, and other OECD members have implemented or are implementing it with their own national laws.
When does CARF take effect?
Implementation timelines vary by country. The OECD released CARF in 2022, and many jurisdictions are now adopting legislation to enforce it, with reporting expected to begin in 2026 in several major economies (EU (DAC 8), the UK, etc.).
We will provide updates as your jurisdiction finalizes its rules.
Why was CARF created?
CARF was introduced to address the fact that crypto transactions can cross borders easily and may not always be reported for tax purposes.
The OECD designed CARF to:
Prevent tax evasion through crypto assets.
Ensure that crypto activities are reported consistently worldwide.
Align crypto reporting obligations with other international tax reporting regimes including CRS and FATCA.
Who is affected by CARF?
CARF applies to:
Crypto-Asset Service Providers (CASPs): including exchanges, brokers, dealers, and certain wallet or payment providers.
Individual and institutional clients who use these services to trade, invest, or transfer crypto assets.
If you are our client, we may need to collect additional information (for example: tax residency(ies) and TIN(s)) and report certain transactions to tax authorities.
What types of assets are covered?
CARF covers a wide range of crypto assets, including:
Cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH).
Stablecoins.
Certain NFTs (if used for investment or payment purposes).
Tokenised real-world assets.
What information will be reported?
Under CARF, exchanges and other providers may be required to report:
Customer information: Name, address, date of birth, jurisdiction of tax residence, and taxpayer identification number (TIN), an entity status, and in certain cases the controlling person(s) of an entity.
Transaction data: Purchases, sales, exchanges, transfers, and certain payments made in crypto assets.
How will this information be used?
We submit the required data to our local tax authority based on the exchange providing you with services, which then shares it with other countries’ tax authorities where you may be a tax resident.
How does CARF relate to CRS and FATCA?
CRS (Common Reporting Standard): covers bank accounts and traditional investments.
FATCA (U.S. law): similar law to CRS covering reporting of U.S. taxpayers’ financial accounts worldwide.
CARF: specifically covers crypto assets.
DAC8: EU implementation of CARF.
CARF and CRS will work in parallel, with some integration to avoid duplication.
How does CARF relate to DAC8?
DAC8 is the EU implementation of the OECD’s CARF. CARF is a global standard from the OECD for voluntary adoption, while DAC8 is binding EU law that mandates these rules for all member states.
What do I need to do as a client?
You may be asked to:
Provide or update your tax residency details (via self-certification forms).
Confirm your Taxpayer Identification Number (TIN).
Keep your information current if you move jurisdictions or change your tax status.
Confirm your Place of birth.
(Re)Confirm your address.
Upload documents to confirm the above information, where we cannot extract it from existing, in date documents.
Warning: If you don’t provide your tax information when asked, your account may be restricted after a certain period. You’ll still be able to withdraw your funds, but you may not be able to continue trading until you provide the required information.
Does CARF mean my crypto is being taxed directly?
No. CARF is a reporting framework, not a tax itself. Your local tax authority will obtain the reported information and may compare this against information you have reported.
How does this impact my privacy?
CARF reporting follows strict data protection and security protocols. Your information is only shared with government authorities under established international agreements. We do not share your personal data with third parties outside of legal obligations. As this is a legal obligation, your consent is not required for us to share the mandated information with the relevant authorities.