Blockchain

Invented in 2008, blockchain began as a payments ledger for cryptocurrency giant Bitcoin. The open-source technology gives companies the capability to securely track any type of data set within numerous applications. Blockchain is a decentralized technology for making permanent, time-stamped digital records, and technology companies are researching numerous applications to real-world situations. Processing and storing large amounts of data and improving upon existing tracking systems require extensive research and development (R&D). If your blockchain company develops, tests, or secures platforms, you may be able to take advantage of the R&D Tax Credit to recoup costs spent on innovation.

Employee wages, supplies, cloud computer rental, and third-party contractor costs associated with research and development activities are considered qualified research expenses (QREs). Companies can receive refunds of up to 22% of total QREs through federal and state tax credits, depending on the state in which your business operates. 

Examples of qualifying activities: 

• Improving data privacy and protection
• Implementing quality and performance improvements of blockchain platforms
• Developing smart contracts (e.g. lease agreement, peer-to-peer loans) 
• Developing new applications for sensitive data (e.g. electronic health records)
• Securing source code on the blockchain

Do you have these job titles on your payroll, or do you hire third-party contractors to do these jobs? 

• Blockchain Developers
• Blockchain Engineers
• Computer Scientists
• Legal Consultants
• Project Managers
• Quality Assurance (QA) Engineers
• Security Engineers
• User Interface (UI) Designers

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Use our R&D Tax Calculator to estimate your potential benefit, and partner with Strike to claim your tax benefits with no up-front costs. Contact one of our experts today.