CRYPTO GLOSSARY

Capital gain

The profit when you dispose of crypto: what you received minus your cost basis. If the result is negative, it is a capital loss.

Capital gain in more detail

Every time you dispose of crypto, you work out one number: the gain or the loss.

One year or less: a short-term gain, taxed at the same rates as your ordinary income.

More than one year: a long-term gain, taxed at 0%, 15% or 20% depending on your income.

FROM LESSON 57 · 5 MIN READCapital gains and cost basisHow a crypto gain or loss is worked out under US rules: cost basis, fees, short-term and long-term holding periods, which coins count as sold, how losses are used and where the wash sale rule stands.Read the lesson

All 128 terms · Checked against the lesson's sources on 10 October 2026.

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