Crypto trading bot do not automatically handle taxes. They only execute trades based on the parameters set by the user. However, the trades executed by the bot will need to be reported for tax purposes. Most countries tax crypto profits as capital gains. Users will need to track their trades, calculate profits and losses, and report them when filing taxes. Some advanced bots integrate with tax software that helps users track their trades for tax reporting, but it’s still advisable to consult a tax professional to ensure compliance with local regulations.
