Crypto ACB: The CRA's Average-Cost Method

17 October 2026 · en-CA · Educational information · No affiliate links

Educational information only. Not tax, legal or investment advice. We are not the CRA and are not affiliated with it. Check canada.ca and consider a qualified Canadian tax professional. Sources checked October 17, 2026. Anything marked expected should be re-checked. Examples use made-up numbers. This page contains no affiliate links.

Short answer: The CRA's guidance on identical properties (for example shares of the same class) says that when you buy and sell identical properties at different prices, you calculate the average cost of each property in the group at the time of each purchase to determine your adjusted cost base (ACB), and that dispositions do not affect the ACB per unit. The CRA divides the total cost of the identical properties purchased (usually cost plus acquisition expenses) by the total number owned. A CRA tax tip on reporting crypto capital gains describes the ACB of a crypto-asset as usually the weighted average cost. The CRA's identical-properties page names shares and mutual fund units and does not mention crypto. The link to crypto rests on the CRA's 2024 tax tip, which calls the ACB of a crypto-asset "usually the weighted average cost", and on the general rule in section 47. The CRA also says its crypto guide does not express an opinion or position.

How it works (our illustration of the CRA method)

  1. Add the cost of each purchase (including acquisition fees) to the running total cost for that coin.
  2. Divide by the total units owned after the purchase: that is the new average ACB per unit.
  3. A sale reduces the units but not the per-unit average.
  4. Gain or loss = proceeds minus (ACB of units sold plus selling outlays).

Section 47 (Income Tax Act)

Subsection 47(1) of the Income Tax Act applies when you acquire more identical properties while still holding earlier ones: you are treated as having disposed of the earlier ones at their ACB, and as having acquired all the identical properties at a cost equal to (the ACB of the earlier properties plus the cost of the new ones) divided by the number owned immediately afterwards.

Limits of this rule. It is for crypto held on account of capital. If your crypto activity is a business, the CRA describes inventory valuation instead (lower of cost and fair market value, or fair market value at year end). In our reading, purchases in several wallets or on several platforms form one group per asset, not one per wallet, because section 47 refers to the number of identical properties owned; the CRA does not say this expressly for crypto.

Made-up example

You hold 1 coin with ACB $20,000, then buy 1 more for $30,000. Total cost $50,000 over 2 coins gives an average ACB of $25,000. You sell 1 coin for $28,000: gain $3,000 (before selling costs); the remaining coin still has ACB $25,000.

Superficial loss link

If a loss is denied as a superficial loss, the denied amount is added to the cost of the substituted property: see the example and the rule.

Related

Records to keep · Schedule 3 line 7 · Swaps

FAQ

Can I pick which coin I sold (FIFO or specific lot)? The identical-properties page describes averaging, not lot selection.

Is each coin its own group? The CRA says that if you hold more than one type of crypto-asset, each type is a separate asset (stated in its inventory guidance). In practice, units of the same coin form one group; whether two different tokens are identical is a question of fact.

What we could not verify

Sources (official)