The exact wording on 1040 is "At any time during 2021 did you receive, sell, exchange or otherwise dispose of any financial interest in any virtual currency?
The IRS instructions read
"A transaction involving virtual currency does not include the holding of virtual currency in a wallet or account, or the transfer of virtual currency from one wallet or account you own or control to another that you own or control. If your only transactions involving virtual currency during 2021 were purchases of virtual currency for real currency, including the use of real currency electronic platforms such as PayPal and Venmo, you are not required to check the “Yes” box next to the virtual currency question."
Page 17 of IRS Form 1040 Instructions
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