How to calculate cost basis for cryptocurrency gift?

Question

USA Taxes. Here are two possible scenarios:

Purchase price is known.

Jan 10, 2020 my brother purchases $1,000 worth of crypto (let’s say BTC).
Jan 15, 2020 my brother gives me all that crypto (but it’s already worth $1,200 since 5 days passed).
Jan 20, 2020 I sell all that and get $1,500

Question: do I treat Jan 10 or Jan 15 as my cost basis?

Purchase price is unknown

Jan 10, 2020 my friend has $1,000 worth of crypto. He doesn’t remember how much he paid for it. All that BTC came from multiple exchanges to his phone wallet... So it’s a mess to figure out the cost basis. He decides to give it to me as a gift.
Jan 15, 2020 my friend gives me all that crypto (but it’s already worth $1,200 since 5 days passed).
Jan 20, 2020 I sell all that and get $1,500

Question: Am I allowed to treat Jan 15 as my cost basis? There is no way my friend can give me a good cost basis estimate anyway.

I assume the gift giver has nothing to worry about since this is below $15,000?

JTP - Apologise to Monica · Answer

Cost basis follows a gift. The date of the gift is only used for valuation if a gift tax were due, but as you noted, if it's under $15,000, this is not an issue.
Scenario 1 has a basis of $1000.
Scenario 2 is tricky. For a stock, one would try to get an honest estimate of the purchase date, and look up the range of prices for the given year. Given that even a few years ago, the crypto might have been worth pennies, an argument could be made that, absent any paper trail, any record at all, to use $0.

user105866 · Answer

It is $1,200 in any scenario!!! Crypto should be treated like stock for tax purposes. The donor gives you an asset worth $1,200. This is your cost basis.
A quote from Schwab website
        the value of a gift of stock for gift tax liability is NOT the

donor's cost basis,  but rather the fair market value

of the stock at the time the gift is 
    
    given.

Read this link
https://www.schwab.com/resource-center/insights/content/how-to-value-a-gift-of-stock

How to calculate cost basis for cryptocurrency gift?

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