First, it should be noted that ABRA Flexi software is not fully adapted for cryptocurrency accounting. However, it can be used to record basic operations by following this guide.

Under Czech accounting legislation, cryptocurrencies are recorded as inventory in two ways — using standard accounts 132 – Goods in warehouse and retail and 123 – Own products, or using special accounts 134 – Other cryptocurrencies and 125 – Cryptocurrencies created by own activity. Cryptocurrencies are always recorded without VAT. Individual exchanges can then be treated as special warehouses in the menu Goods – Warehouse List, or they can be treated as bank accounts in the menu Money – Bank Account List.

In ABRA Flexi, only the variant using standard accounts 132 and 123 is currently available.

Account 132 – Goods in warehouse and retail will be used in cases where the cryptocurrency was:

Account 123 – Own products will then be used if the cryptocurrency was mined through the company's own activity.

This corresponds to the classic inventory management method A, meaning that upon acquisition we post to account 131, then transfer to account 132 via a warehouse document, and post to consumption account 504 upon issue.

It is recommended to set up a dedicated sub-account of account 132 or 123 for each cryptocurrency. Income and expenses will then be posted through these accounts.

Acquiring cryptocurrency by purchase

Purchasing cryptocurrency from a bank account 131/221 (= bank payment document)

Purchasing cryptocurrency "on invoice" (payment not yet made) 131/321 (325) (= received invoice)

Recording incidental acquisition costs 131/221, 321 or 325 (= additional line item on a bank payment document or received invoice)

Registering the cryptocurrency in records 132/131 (= cryptocurrency receipt "into stock")

Acquiring cryptocurrency as received consideration for the sale of goods or services

Receiving cryptocurrency from a customer 131/311 (= cash register or bank)

Registering the cryptocurrency in records 132/131 (= receipt "into stock")

Acquiring cryptocurrency through own activity

Registering the cryptocurrency in records at own cost (123/583) (= receipt document)

Settling a liability in cryptocurrency 321 or 325/604 (= cash register or bank)

Removing cryptocurrency from records 504/132 (= issue document)

Removing cryptocurrency recorded on account 123 from records 583/123 (= issue document)

This corresponds to the classic inventory management method B, meaning items are posted directly to consumption.

Again, dedicated sub-accounts for individual cryptocurrencies are set up under accounts 132 and 123, but entries to these accounts will only be made at the end of the accounting period.

Acquiring cryptocurrency by purchase

Purchasing cryptocurrency from a bank account 504/221 (= bank)

Purchasing cryptocurrency "on invoice," payment not yet made 504/321 or 325 (= received invoice or other liability)

Recording incidental acquisition costs (fees) 504/221, 325 or 321 (= received invoice, other liability, or bank)

Acquiring cryptocurrency as received consideration for the sale of goods or services

Receiving cryptocurrency as payment from a customer 504/311 (= other liability or received invoice)

Settling a liability in cryptocurrency 321 or 325/604 (= issued invoice or other receivable, or bank)

Selling cryptocurrency with payment to a bank account 221/604 (= bank)

Transferring the opening balance of cryptocurrencies on account 132 to expenses 504/132 (internal document)

Transferring the opening balance of cryptocurrencies on account 123 to expenses 584/123 (internal document)

Recording the closing balance of cryptocurrencies on account 132 132/504 (internal document)

Recording the closing balance of cryptocurrencies held on account 123 123/583 (internal document)