Crypto finance can be complicated, and especially so at scale. At that point, accounting can be increasingly challenging.

Virtually all crypto finance teams realize that they need crypto accounting software at some stage. All too often, that realization comes only after things have gone slightly wrong.

The fact is that traditional accounting software, while being OK for crypto, wasn’t really designed with it in mind. It can feel as if the crypto aspect is being squeezed into software that doesn’t make the best sense.

Happily, there are plenty of standalone crypto accounting software tools on the market. The bad news is that there are maybe too many, and product quality can vary widely. With that in mind, we thought it’d be a good idea to run through some all-important questions to ask when assessing a potential software tool for use at your business. Let’s take a look.

Does It Offer Full Network Coverage?

Crypto software can’t register a transaction if it doesn’t know that it took place. Oftentimes, you’ll find crypto software that only covers a few key networks. Even if that’s in line with your needs today, growing crypto companies are continually adding new networks. Working with a software provider that offers extensive coverage will ensure that it’s ready to handle all transactions, regardless of which networks you use, without having to resort to manual inputs. The very best crypto accounting software provides coverage across more than 220 chains.

Is It Fully Accurate?

You’ll often see crypto accounting software boast that they’re 95% accurate. That sounds good, but when you think about the sheer number of transactions that will take place, it can suddenly become a liability. Having transactions fall through the cracks can lead to a host of other problems that can be time-consuming to undo later on down the line.
In any case, you’ll want full peace of mind that your transactions are accurate. Having to spend large amounts of time checking your accounting software defeats one of the main advantages of having such software. Focus on the crypto accounting software that offers complete accuracy, now and always.

Does It Allow For Transaction Context?

Numbers on a sheet will tell you the transaction took place, but they won’t tell you what they relate to. The best crypto accounting software allows for contextual, usable insights into every transaction, which can help to make the job of the finance team much more straightforward. You should find that the software can automatically generate pre-determined labels that ensure each transaction is marked before it reaches the ledger.

Does It Provide Fast Reconciliation?

Ask any crypto accounting team about their least favorite part of their work, and they will likely say reconciliation. That can take up considerable amounts of time that could otherwise be spent on value-adding tasks, such as financial strategy.
The best crypto accounting software allows for the reconciliation process to happen as quickly as possible. You should find that the software company intentionally mentions that they’ve thought about reconciliation and make it as efficient as they can. More than anything, it’ll show that they clearly understand the primary pain points that finance teams face.

Does It Simplify Compliance?

Crypto compliance is ever evolving, and that can expose risk for businesses that don’t manage the compliance aspect of their operations as watertight as they should. Good crypto accounting software makes the compliance process as straightforward as possible, ensuring that your business is covered from day one.

Does It Have Good Reviews?

Good reviews from existing clients are one of the best measures of the usefulness of crypto accounting software.

By ‘good reviews,’ we don’t just mean that the customers like the tool. The reviews should demonstrate just how they’ve benefited from the software. For that, detailed reviews will be best. If the software has plenty of quality, in-depth information about the specific ways that their organization has benefited, then that will be a good sign that your business should have a similarly beneficial experience.

Is The Demo Impressive?

The demo is your chance to see how the software works, understand how it’ll benefit your business, and, more broadly, give you a solid understanding of how the customer support team would treat you if you chose to become a customer. During the demo, you should receive a confident demonstration of the tool’s capabilities that outlines specifically why it’s the right one for your business. If it ticks that box, and the service team is friendly and knowledgeable, then you’ll likely have found the right tool.