thepep
Returning Member

Crypto reporting question when used to purchase a service

So I purchase 300 UNCL tokens at xyz cost.  I then use these tokens (sell?) a couple minutes later on a staking platform to obtain a percent "Boost" in my earnings of another token on the staking platform.  I guess this could be considered that I purchased a "service"?  The 300 UNCL are then burned or permanently removed from the blockchain by the staking platform in exchange for the "Boost".  Is this considered a taxable/reportable event?  I have a cost basis when I purchased the UNCL but when I used them for the "Boost", is that considered a sale with an associated capital gain/loss situation?  If so, it'd basically be a wash as I performed each task concurrently.