Getting paid in crypto: revenue under ASC 606 and IFRS 15
A price stated in tokens is non-cash consideration, measured at contract inception under US GAAP. IFRS 15 leaves the date open.
If customers pay you in crypto, the first question is not the token's price but how the contract states the price. A fee set in dollars and settled in tokens is cash consideration; a fee set in tokens is non-cash consideration, and US GAAP then fixes its value at contract inception, while IFRS leaves room for judgment.
Denominated or merely settled?
Deloitte's revenue roadmap draws the line clearly. The non-cash consideration guidance in ASC 606-10-32-21 to 32-24 is aimed at contracts whose value is denominated in a non-cash item, not those that are only settled with one [1]. Its example is a wallet provider charging a fee of 5 percent of the dollar value of each exchange, paid in bitcoin at a rate fixed on the transaction date: because the fee is set in dollars, the transaction price is the dollar amount [1].
So a contract for 20,000 dollars of services payable in USDC or ETH at the spot rate is measured at 20,000 dollars. A contract for 10 ETH is different: the customer has promised a specific quantity of a non-cash asset.
US GAAP: fair value at contract inception
For a contract denominated in crypto, ASC 606-10-32-21 requires the entity to measure the estimated fair value of the non-cash consideration at contract inception, meaning the date the contract criteria in Step 1 are met [1]. If fair value cannot be reasonably estimated, the entity uses the standalone selling price of the goods or services promised instead [1].
After inception, changes in fair value that arise from the form of the consideration, such as the token's market price moving, are not included in the transaction price and so are not revenue [1]. Changes for other reasons, for example a bonus quantity of tokens that depends on performance, are variable consideration and subject to the constraint [1]. ASU 2016-12 settled the measurement date and the split between these two kinds of variability [1].
Once the tokens are received, they are accounted for under the guidance for that asset [1]. For in-scope crypto assets under ASU 2023-08, which applies to fiscal years beginning after December 15, 2024, that means fair value through net income from then on [4]. If performance happens before payment, a receivable for a fixed number of tokens can raise embedded derivative questions under ASC 815-15 [1]; take advice on that pattern.
IFRS 15: the date is a judgment
IFRS 15 uses the same five-step model and defines the transaction price as the consideration the entity expects to be entitled to [6]. It also measures non-cash consideration at fair value, but the IASB did not adopt the US clarification that fixes the measurement date at contract inception [1]. In practice IFRS reporters choose among contract inception, the date the consideration is received and the date the performance obligation is satisfied, and should apply that policy consistently.
The issue came up in the IASB's post-implementation review of IFRS 15. In March 2024 the Board tentatively decided, with all 14 members agreeing, to take no further action on matters related to non-cash consideration [2]. As of October 2026 there is no IFRS amendment on the point, so the diversity remains. Tokens received are then accounted for under IAS 38, or IAS 2 for entities holding them for sale in the ordinary course of business [5].
| Basis | Revenue measured at | Where the price movement goes |
|---|---|---|
| US GAAP (ASC 606) | ETH fair value at contract inception | Outside revenue; then ASU 2023-08 fair value for the ETH |
| IFRS 15 | Policy choice: inception, receipt or satisfaction date | Depends on the date chosen; then IAS 38 or IAS 2 |
| US tax | Fair market value when received | Basis equals that value |
| Account | Debit | Credit |
|---|---|---|
| Service completed and 10 ETH received on the same day ETH at contract inception 2,000 → transaction price 20,000; ETH on receipt 2,400 → fair value received 24,000 | ||
| Digital assets — ETH | 24,000 | |
| Service revenue | 20,000 | |
| Gain on non-cash consideration (other income) | 4,000 | |
Tax does not follow the book
For US federal tax, the IRS says that receiving virtual currency for services is ordinary income, measured at its fair market value in dollars when received, and that this value becomes your basis [3]. In the example above, taxable income would be 24,000 dollars while book revenue is 20,000 dollars, so expect a book-to-tax difference whenever price moves between contract inception and receipt.
What to do
- Review contract wording: is the price stated in dollars or in tokens? Change templates if the answer surprises you.
- For token-denominated contracts, record the inception-date price, source and timestamp in the contract file.
- Choose and document an IFRS 15 measurement-date policy if you report under IFRS.
- Decide where the post-inception difference is presented, and keep it out of revenue under US GAAP.
- Track book-to-tax differences on token receipts for the tax provision.
Sources
- 6.5 Noncash Consideration (Deloitte (DART), Roadmap: Revenue Recognition)
- IASB Update March 2024 (IFRS Foundation)
- Frequently asked questions on virtual currency transactions (Internal Revenue Service)
- FASB Issues Final Standard on Crypto Assets (Deloitte (DART))
- Holdings of Cryptocurrencies (IFRS Foundation)
- IFRS 15 Revenue from Contracts with Customers (IFRS Foundation)
General information for finance teams, current as of publication. Not legal, tax or accounting advice.