My LLC only bought Bitcoin and held it. Do I still answer 'Yes' to the digital assets question on the return?
I run a foreign-owned Wyoming LLC and during the year we bought Bitcoin as a treasury asset, but we never sold it, exchanged it, or paid anyone with it. We also did not receive any staking rewards or mining income. The only activity was buying and holding it in a wallet the company controls.
The return question still makes me nervous because it is written broadly enough that I am worried just owning crypto might force a 'Yes.' If the IRS is drawing a line between holding and transacting, I want to use that line correctly instead of over-answering out of fear.
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