Crypto tax compliance risks highlighted in Germany and US warnings

German tax experts warn that cryptocurrency is not truly anonymous; blockchain transactions are publicly visible and can be linked to individuals through wallet addresses, exchange registrations or shared information. Pseudonymity can lead to tax evasion charges, but self‑disclosure can mitigate penalties.

The US Internal Revenue Service’s Criminal Investigation division issued an alert about a sophisticated phishing campaign that sends physical letters and QR‑code links to crypto investors, directing them to a counterfeit “Digital Asset Compliance Portal.” The bogus domain was registered in Hong Kong and the servers are located in Romania. The IRS confirmed it does not operate such a portal. In Germany, similar scams impersonate the ELSTER tax platform, urging recipients to download PDFs or follow fraudulent links. Worldwide crypto‑related fraud losses totaled about $17 billion in 2025, with a 1,400 % rise in identity theft and over 200 major hacks reported in the first half of 2026.