Thank you for your reply. So, should I answer YES?
I am still confused. Below is what the IRS says in Frequently asked Question. I would appreciate any advice. I just don't want to make any mistake that may lead to so much headache later.
A5(a). If your only transactions involving virtual currency during 2021 were purchases of virtual currency with real currency, you are not required to answer “yes” to the Form 1040 question, and should, instead, check the “no” box.
