INSIGHT

Cost-benefit analysis: In-house vs. outsourced crypto accounting 

Mary Gillis, Javier Salinas • November 4, 2025

Services: Blockchain & digital assets Industries: Blockchain & Digital Assets

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The cryptocurrency landscape has reached a critical inflection point for businesses. With Bitcoin surging and stablecoins processing over $15 billion in daily transactions—surpassing traditional payment networks—the question is no longer whether your business will encounter digital assets, but how you’ll account for them. As stablecoin transfer volumes hit $27.6 trillion last year, surpassing the combined volume of Visa and Mastercard transactions, the need for sophisticated crypto accounting has moved from niche to mainstream. 

The accounting complexity intensifies with new regulatory requirements. FASB’s ASU 2023-08, effective for fiscal years starting after December 15, 2024, requires subsequent measurement of certain crypto assets at fair value, with fair value changes recorded in net income in each reporting period.  

This fundamental shift from cost-less-impairment to fair value accounting means businesses must decide: build internal crypto accounting capabilities or partner with specialized providers? 

The hidden complexity of crypto accounting 

Unlike traditional assets, cryptocurrency accounting presents unique challenges that compound traditional accounting costs. The complexity goes far beyond simple transaction recording, requiring specialized knowledge of blockchain technology, DeFi protocols, and evolving regulatory frameworks. 

Multi-layered transaction complexity 

Crypto transactions involve intricate details that traditional accounting systems can struggle to capture. Each transaction requires tracking across multiple dimensions: 

• Cost basis calculations with multiple accounting methods (FIFO, LIFO, specific identification)  

• Fair value determinations from multiple exchanges with varying liquidity and spreads  

• Transaction fee allocations across different blockchain networks with fluctuating gas costs  

• Multi-chain asset tracking as businesses operate across Bitcoin, Ethereum, Solana, and emerging networks  

• DeFi protocol interactions including staking, lending, and liquidity provision 

Hiring a specialized crypto accountant can cost anywhere from $200 to $500 per hour, with more complex cases involving DeFi complexity like liquid staking rebase tokens or NFT bonds seeing fees rise further. Some firms offer monthly packages ranging from $1,000 to $5,000, depending on the services provided. 

Regulatory compliance burden 

The regulatory landscape creates additional layers of complexity and valuations are constantly fluctuating, so businesses must maintain: 

• Real-time fair value tracking with proper documentation for audit purposes  

• Detailed transaction logs across all platforms, exchanges, and protocols  

• Multi-jurisdiction compliance as crypto regulations vary significantly by location  

• Audit-ready documentation that satisfies both internal and external requirements 

The true cost of in-house crypto accounting 

Building internal crypto accounting capabilities requires substantially more investment than traditional accounting teams. The specialized knowledge, technology infrastructure, and ongoing training create substantial hidden costs. 

For crypto accounting, you need: 

• Crypto accounting specialists with blockchain knowledge, often commanding premium salaries  

• Compliance officers familiar with evolving crypto regulations across jurisdictions  

• Technology specialists capable of integrating multiple exchanges, wallets, and DeFi protocols  

• Risk management professionals who understand digital asset volatility and security concerns 

Additionally, the talent shortage in crypto accounting drives compensation higher. While the crypto space is relatively new, some traditional accounting firms are slowly accepting clients with digital assets, while other firms are completely web3 native, specializing in the unique needs of this space. 

Technology infrastructure investments 

Crypto accounting demands sophisticated technology infrastructure that traditional accounting software cannot provide. Internal teams require: 

• Multi-blockchain integration capabilities to track assets across 200+ supported chains 

• Real-time data feeds from exchanges, wallets, and DeFi protocols  

• Automated reconciliation systems to match on-chain and off-chain transactions  

• Advanced reporting platforms capable of fair value calculations and regulatory reporting  

• Security infrastructure to protect sensitive wallet and exchange data 

Basic crypto accounting software offerings begin at less than $100 a month and range to over $750 a month, with the main driver being transaction volume. However, enterprise-level solutions for complex operations can cost significantly more. 

Ongoing training and compliance costs 

The rapidly evolving crypto landscape requires ongoing education and system updates. Regulatory approaches risk fragmenting the global digital finance landscape: a dollar-based stablecoin system in the U.S., a state-backed European digital euro regime, and a mix of regional approaches elsewhere. 

Internal teams face mounting costs for: 

• Continuous professional education on new protocols, regulations, and accounting standards  

• Software updates and integrations as new blockchains and protocols emerge  

• Compliance monitoring across multiple jurisdictions with different requirements  

• Risk assessment and mitigation as the crypto ecosystem evolves 

Learn more about our Outsourced Accounting for Blockchain and Digital Assets service

The strategic advantages of outsourced crypto accounting 

Specialized crypto accounting firms offer comprehensive solutions that address both the technical complexity and regulatory requirements while providing cost predictability and scalability. 

Outsourced providers offer: 

• Comprehensive blockchain coverage across major and emerging networks 

• Real-time integration with exchanges, custodians, and DeFi protocols 

• Automated reconciliation and transaction categorization 

• Advanced reporting capabilities for regulatory compliance and internal management 

• Audit-ready documentation with proper controls and documentation 

• Streamlined support for monthly and quarterly close processes 

• Proactive implementation of new accounting standards and frameworks 

• Technical accounting guidelines development for compliance assurance 

• Crypto-native software implementation for operational efficiency 

• Strategic advisory on crypto and control best practices for risk management 

• Regulatory filing support for all crypto-related transactions 

Regulatory compliance and risk management 

Organizations considering the integration of stablecoins into their operational framework should prepare for evolving regulations. The patchwork of regulatory measures, originally designed for traditional finance, has been adapted to the unique challenges presented by virtual assets, sometimes leading to inconsistencies. 

Specialized firms navigate this complexity by maintaining: 

• Multi-jurisdiction compliance capabilities across different regulatory frameworks  

• Current regulatory knowledge of evolving requirements and interpretations  

• Established audit relationships with firms experienced in crypto asset reviews  

• Risk assessment frameworks tailored to digital asset volatility and operational risks 

Cost efficiency and scalability 

As crypto adoption accelerates, outsourced solutions provide scalability advantages: 

• Variable cost structure that scales with transaction volume and complexity  

• No upfront technology investments in blockchain infrastructure or specialized software 

• Predictable monthly fees for budget planning and cost management 

• Immediate scalability during periods of high transaction volume or market volatility 

Making the strategic decision 

The choice between in-house and outsourced crypto accounting requires evaluating transaction complexity, business stage, and future growth projections. Consider these key decision factors: 

Transaction complexity 

• Simple buy-and-hold vs. complex DeFi interactions  

• Current volumes across exchanges, wallets, and protocols 

• Multi-chain operations and cross-chain bridge transactions 

Business considerations 

• Risk tolerance for regulatory compliance and operational errors  

• Internal resources for specialized crypto knowledge  

• Future crypto adoption and scaling requirements 

Technology trends 

• AI-powered automation and real-time compliance monitoring  

• Integration with existing ERP and accounting systems  

• Evolving protocols and regulatory requirements 

The demand for tokenized assets reached $2.7 billion in Q1 2024, projected to hit $30 trillion in the next decade. As mainstream adoption accelerates, the decision becomes less about whether to address crypto accounting complexity and more about the most strategic approach. 

The bottom line for crypto-forward businesses 

The cost-benefit analysis for crypto accounting has fundamentally shifted as digital assets move from experimental investments to core business operations. FASB’s new guidance benefits both reporting entities and investors by better reflecting crypto asset economics, risks, cash flows, and financial statement impacts while reducing cost and complexity compared to previous cost-less-impairment accounting models. 

For most businesses, outsourced crypto accounting provides superior value through specialized knowledge, advanced technology infrastructure, and regulatory compliance capabilities that would be prohibitively expensive to build internally. The decision ultimately comes down to whether your business can afford the significant investment in specialized talent, technology, and ongoing training required for effective internal crypto accounting. 

The crypto accounting landscape will continue evolving rapidly as new protocols emerge, regulations solidify, and mainstream adoption accelerates. Partnering with specialized providers positions your business to navigate this complexity while focusing internal resources on core business activities. 

Rather than viewing this as a simple cost decision, consider it a strategic investment in your business’s digital asset infrastructure. The right choice provides not just accounting services, but a foundation for compliant, efficient, and scalable crypto operations that can adapt to the rapidly changing digital asset landscape. 

Ready to explore how specialized crypto accounting can support your digital asset operations while maintaining compliance and optimizing efficiency? Contact BPM today to discuss your specific cryptocurrency accounting needs and learn how our comprehensive approach can help you navigate the complex world of digital asset financial management.