Joong (Justin) Yoo
ENGH 302
Professor Holcomb
Annotated Bibliography
Research question: What and how are we accounting for cryptocurrencies regards to financial
reporting?
1. Smith, Sean. S. (2018). Implications of Next Step Blockchain Applications for
Accounting and Legal Practitioners: A Case Study. Australasian Accounting, Business
and Finance Journal, 12(4), 77-90.
Sean Smith in “Implications of Next Step Blockchain Applications for Accounting and
Legal Practitioners: A Case Study. Australasian Accounting, Business and Finance
Journal, 12(4), 77-90.” States the background of cryptocurrencies in the accounting
industry where cryptocurrencies are an emerging financial technology and Smith argues
that as blockchain technology (cryptocurrencies) grows in prevalence, accounting
organizations will have an increased impact on the treatment of cryptocurrencies and
their legality regarding financial reporting. His evidence clearly states the increased use
of bitcoins and cryptocurrencies has increased impact of cryptocurrencies used as assets
or investing in financial reports. I chose this credible source due to the reliability of the
article and the peer-reviewed information by scholars verifying the information.
2. Sterley, Andre. (2019, June 7). Cryptoassets: Accounting for an Emerging Asset Class.
Retrieved October 25, 2020, from ProQuest.
Cryptoassets: Accounting for an Emerging Asset Class, by, Andre Sterley argues the
current unresolved delegations of the SEC, IRS, and other governmental organizations
that doesn’t allow cryptocurrencies to be legal tender in the United States initiated for
cryptocurrency-reliant companies to devise other ways to benefit their emerging financial
technology or leave the country entirely to escape the consequential legalities. The author
explains his work by giving examples of government regulations like not being able to
convert cryptocurrency to cash disadvantaged companies to allow cryptocurrencies to
become liquid. This article is relevant to my research question because it exposes a
different viewpoint of cryptocurrency reporting that has not been resolved and has
credible sources regarding the information.
3. K. (2019, April). Cryptoassets – Accounting and tax What’s the impact on your financial
statements? Retrieved October 25, 2020, from
https://assets.kpmg/content/dam/kpmg/xx/pdf/2019/04/cryptoassets-accounting-tax.pdf
“Accounting and tax. What is the impact on your financial statements?”, by KPMG
believes that cryptocurrencies can be classified as asset-bearing accounts when financial
reporting for accountants and related investors. The potential audience KPMG
encourages for are innovative accounting departments and technological business
environments that utilize cryptocurrencies in the business world. Their statements of
specifying financial information for broker-traders and miners clearly identifies the
specific audience KPMG is trying to reach out to. KPMG, one of the largest accounting
firms in the world, is a reliable credible source that provides recent publications regarding
news in the accounting world. I chose this article to cite because of the reliable source
KPMG publishes and keeps any accounting news up to date.
4. Currie, Chip. (2018, March 6). What is cryptocurrency? How do you account for it? Does
it fit in existing accounting models? Retrieved October 25, 2020, from
https://www.pwc.com/us/en/cfodirect/publications/point-of-view/cryptocurrency-bitcoinaccounting.html
Chip Currie in “What is cryptocurrency? How do you account for it? Does it fit in
existing accounting models?” views cryptocurrency in a different perspective where he
believes cryptocurrencies are reported as an intangible, living assets that needs to account
for on a regular basis. Under a recently proposed accounting framework,
cryptocurrencies, such as Bitcoin, would not be classified as cash, currency, or financial
asset, but an intangible asset that increases or decreases value along a timespan which
needs to be recorded accordingly, otherwise looking at cryptocurrencies at a different
viewpoint. I chose this publication because Chip Currie is a Partner at PWC displaying
credible information backed up by one of the largest accounting firms.
5. Silvia. (2020, January 15). How to Account for Cryptocurrencies in Line with IFRS.
Retrieved October 25, 2020, from https://www.cpdbox.com/accounting-cryptocurrenciesifrs/
“How to Account for Cryptocurrencies in Line with IFRS”, by Silvia introduces a
different side of cryptocurrency in a much simpler term for reporting in the international
side. Silvia discusses the financial reporting when companies reports under IFRS,
International Financial Reporting Standards, and the similar discussions the US should
take to be aligned with international standards. The author’s purpose is to define financial
reporting standards in the IFRS and convey the different regulations between the US and
the international standards. The blog provides credible references and official citations
from the IFRS that made a attractive writing piece to choose.