AICPA Updates to Digital Asset Auditing

In December, the AICPA shared the practice aid “Accounting for and Auditing of Digital Assets”. 

This week the AICPA released new updates to the nonauthoritative guide.

Background on Digital Asset Auditing

Any records made utilizing cryptography can be referred to as digital assets. This includes activities and transactions using Bitcoin, Ethereum, and other cryptocurrencies. 

As these digital assets become more common, the industry is adapting to provide guidelines for such records. This is crucial in helping accountants know exactly when and how to approach these digital assets. 

AICPA Digital Auditing Updates

Updates to the practice aid on digital assets include subgroups in accounting and auditing. These changes were released to the public on Thursday and feature the following major topics:

  • Expert definitions and understandings from the AICPA Digital Assets Working Group on what accountants need to know
  • Information and recommendations on security and management of digital asset records
  • Explanation of how the digital asset ecosystem is evolving and recommendations for how to adapt
  • Guides to the following
    • Auditor and management skill sets and competencies
    • Management of integrity and overall business strategies 
    • Specific processes and controls, including education on information technology systems

Learn More About Digital Asset Auditing

Read the full practice aid on “Accounting for and Auditing of Digital Assets” to learn more about the digital asset ecosystem and recommended practices. 

Learn Hall & Company best practices on cryptocurrency: What Accountants Should Know About Cryptocurrency

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