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Airdrop guide

Do You Pay Tax on Crypto Airdrops? (US)

Airdropped and rewarded crypto is generally taxable income in the US. Here's the IRS rule and what to record.

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The IRS rule

Per the IRS virtual-currency FAQ (Q&A 22-24), if you receive new cryptocurrency via a hard fork or airdrop, you generally have ordinary income equal to its fair market value when you receive it (when you have dominion and control). Your basis equals the amount included in income, and a later sale is a separate capital gain or loss.

What to record

  • Date received
  • Token and quantity
  • USD fair market value at receipt
Not tax advice

This is general information, not tax advice. Consult a qualified tax professional for your situation.

Read before you claim
  • Not guaranteed, not investment advice. Airdrops are not guaranteed — a project can cancel, change, or fail to deliver, and rewards can be worth less than expected. This page is for education only and is not financial, investment, legal, or tax advice.
  • Eligibility. Most crypto airdrops exclude US persons. Eligibility shown is as reported at the last-checked date — always confirm in the project's own terms. Do not use a VPN to evade geographic restrictions.
  • Taxes. In the US, airdropped/rewarded crypto is generally ordinary income at its fair market value when received; selling later is a separate taxable event (IRS FAQ Q&A 22-24). Keep records.
  • Scam safety. A real airdrop never asks you to send crypto or share a seed phrase. Never pay to claim. Verify every claim page against the project's official domain.
  • Affiliate disclosure. Some links are referral links; we may earn a commission at no cost to you. Value estimates are not guarantees.