Holdings of cryptocurrencies

An IFRS IC agenda decision confirmed that cryptocurrencies are not financial assets and they meet the definition of an intangible asset. 

In June 2019, in response to a request from the IASB, the IFRS Interpretations Committee (IFRS IC or the Committee) published an agenda decision on how an IFRS reporter should apply existing IFRS standards to its holdings of cryptocurrencies, a subset of crypto assets. The Committee observed that a holding of cryptocurrency meets the definition of an intangible asset under IAS 38 Intangible Assets as it is capable of being separated from the holder and sold or transferred individually, and is not a monetary asset, i.e., does not give the holder a right to receive a fixed or determinable number of units of currency. The IFRS IC concluded that holdings of cryptocurrencies should be accounted for under IAS 38 unless they are held for sale in the ordinary course of business, in which case IAS 2 Inventories would apply. A commodity broker trader of cryptocurrencies would be able to measure  its cryptocurrency inventories at fair value less costs to sell. 

The agenda decision also provides guidance on the disclosure requirements within current IFRS standards that would be relevant to holdings of cryptocurrencies.