I had some Crypto Assets in block fi interest accounts in 2022.
It is easy for me to get a report of the interest earned prior to them declaring bankruptcy.
Q1. My assumption is that although I have not been able to withdraw any of interest earned since the platform was shutdown; i would still need to report it as income for 2022. Best case scenario would be that I get the money out after the proceedings are completed.
However, what is not clear is the treatment of the crypto assets that the platform was the custodian of (on my behalf). They seem to be calculating the value of our holdings based of values on Nov 28th 2022. However the bankruptcy proceedings are still ongoing and there's no guarantee that we will actually get that money.
Q2. For the purpose of tax filing, am I required to treat those assets as sold on Nov 28th 2022 and pay tax on the captial gains (that will remain unrealized till next year or possibly forever?)
