Founders

Wild Wild Money

At some point, everyone here has to pay taxes lol

If you're building for crypto startups, make sure you're solving a problem that enables PMF (i.e., infra, auth, payments, treasury, distribution) vs. a problem they have after achieving PMF. 

I recently explored some building tax and compliance tools for crypto startups and was reminded of this. 

Here are a few lessons:  
- Tax and compliance are important but are post-PMF problems. Most crypto startups do not have PMF and don't think about these issues at all.
- For the few startups that think about these issues, spreadsheets, block explorers, and traditional accounting software work just fine. 
- Competition is good, too. Stripe Connect is positioned well to solve user tax and compliance challenges (i.e., tracking, generating, and filing 1099s), and Integral.xyz has built a world-class QuickBooks alternative for crypto teams.

There are definitely anxieties there, but if you break it down, taxes are the excuse, and behavior change is what's really hard. This will likely be solved by crypto payments apps building in tax/compliance features and developer tools like Stripe Connect, simplifying things for all apps. 

Stripe Connect 1099 + Bridge stable infra = problem solved

There are definitely anxieties there, but if you break it down, taxes are the excuse, and behavior change is what's really hard. This will likely be solved by crypto payments apps building in tax/compliance features and developer tools like Stripe Connect, simplifying things for all apps. 

Stripe Connect 1099 + Bridge stable infra = problem solved https://stripe.com/connect/1099

Interesting, I always thought that small business don’t adopt crypto because of the tax complexities and overhead of dealing with the unknowns