How do I calculate my crypto tax liability if I made multiple trades?

Calculating crypto tax liability involves tracking each transaction's cost basis and gains/losses. For every trade, record the purchase price, sale price, and holding period. Your taxable gain equals sale proceeds minus cost basis. If you held coins under one year, gains are typically taxed as short-term capital gains (at ordinary income rates). Holdings over one year usually qualify for lower long-term capital gains rates. Track all trades chronologically—many use FIFO (first-in-first-out) accounting by default, though LIFO or specific identification methods may be available depending on your jurisdiction. Tools like Koinly or CoinTracker can automate calculations by syncing exchange data. Tax treatment varies significantly by country, so consult a tax professional familiar with cryptocurrency regulations in your location.