Staking awards are reported as income, since they are available for you immediately. If you sold your awards, the Capital Gain/Loss would be the difference in value from when you received the awards to what you sold them for.
This is treated as property. So, like property sales or the sale of stock, any gain or loss from the sale or trade of cryptocurrency is reported as a capital gain or loss. If you buy and sell it within 12 months, it’s treated as a short-term capital gain. If you hold it for over 12 months, it’s taxed at the lower, long-term capital gain rates.
Here's more info on Reporting Stake Awards and Reporting Crypto Earnings/Loss.
We are having an Ask the Experts event specifically about Crypto transactions on 03/15/23. Please register for it here.
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