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Wondering about the IRS stance on cryptocurrency airdrops? Cryptocurrency airdrops have piqued the interest of tax authorities due to their unconventional nature. When you receive cryptocurrency tokens through an airdrop, the IRS considers it taxable income at the fair market value on the date you received them. Reporting cryptocurrency airdrops correctly is crucial to comply with tax obligations. Failure to disclose airdrops could lead to penalties. Ensure you keep detailed records of all airdrops for accurate tax filing. Stay informed about IRS guidelines regarding cryptocurrency airdrops to navigate tax implications smoothly.