BearTax


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BearTax is an American cryptocurrency tax software company. The company was founded in 2018 by Vamshi Vangapally and is based in Atlanta.

Easy to use cryptocurrency tax software for individual traders and CPAs to manage clients and their trades, calcuate capital gains and help them prepare and file taxes

Website

bear.tax

Revenue

$9,500/month

# Founders

3

# Employees

4

Location

Atlanta

Instagram

@bear.tax (143 followers)

Facebook

BearTax (332 followers)

Twitter

@bear_tax (1.15K followers)

Website Rank

329,594

Business Started

February 2018

YouTube

BearTax (19 subscribers)

Business Type

software

Country

United States of America

Business Idea

cryptocurrency business

Days To Build Business

45

Industry

Cryptocurrencies

Company History

Vamshi Vangapally details the beginnings of their company in their Starter Story interview: [1]

Q: How did you get started on BearTax?

I am a product consultant with a focus on UI and UX for web and mobile products. Been a technology enthusiast trying to solve problems that could be addressed with technology and been creating products for customers for the past 7 years. Prady Doddala, my co-founder and I have been working on such products together for more than 8 years. He’s my junior in undergrad and a good friend in this journey.

It’s like team Avengers, I’ve found the right team after years including Prady and another enthusiastic co-founder Arun NH. We complement each other in various skills that are necessary to build and scale a startup.

I’ve got stuck by Bitcoin bug in early 2017 when talking to friends facing ransomware issues on their servers. After exploring Bitcoin, I dug through the rabbit hole to understand various others like Ethereum, Litecoin and so on. I started understanding it and been explaining it to friends a lot over chat. To avoid redundancy, I’ve started writing things I learn on Medium and got a website confusedcoin.com to point the same.

Have close to a million readers now on medium.

how-i-built-a-9k-month-crypto-tax-calculator

However, reading, trying out and trading at the same time created a lot of anxiousness. It didn’t seem practical to keep track of prices and led me to try out automated trading. I searched for a trading bot on github (I would not suggest this to anyone as it’s not safe to trust some random bot with your funds). This bot I selected didn’t steal my funds, but it has posted a whopping 18,000 transactions trading just $100

These huge trades got me off the threshold that GDAX (now Coinbase Pro) has to report to IRS and I received an email informing the same. My details and trades will be submitted to the IRS and I have to file taxes on that. I wouldn’t have avoided - but this has made it mandatory for me to file without failing.

When I wanted to file, CPAs quoted for more than $3000 and existing tools were unable to fetch the 18000 trades in the first place and even if someone did, they would charge me hefty price to reveal my gain or loss. This was an unpleasant experience and was not straight forward and trustworthy as I had many pieces left in the puzzle.

So, I have a flow in mind on how this should be approached and consulted with accounting professionals I met at local blockchain meetup. With their validation, I got together with my Avengers and built something functional that could get my tax documents generated. This was the first step towards our journey. I was able to file my taxes with 2 weeks of caffeine and coding.

At that time, many folks were in a similar situation that I was in (receiving emails from GDAX regarding their profile being submitted to IRS) and were looking for a solution. Looking at this, I’ve used my thought process, included missing pieces in the puzzle and used my UX expertise to cover the entire flow. I and my team worked together for another 3 weeks and finally launched BearTax on March 20th of 2018.

We’ve set up a constant feedback loop using the chatbot and improved the user experience and added missing pieces. Domain experience, A fast-paced engineering team, and the scalable approach have helped us get this off the mark pretty quickly.

Since this was a necessity and many traders were looking for solutions on Reddit, Telegram, Blind already, we were able to get them to try our product and we served them well beyond their expectations.

Source [1]

Technology

BearTax is built on Amazon Web Services.

They use MailChimp and SendGrid for their email. Drift for their customer service. Slack and Jira for their productivity.

References