#88: Fund Accounting for Digital Assets with MG Stover & Otto

Web3 is global, but where you set up your company matters. One growing hotspot is Panama.Panama doesn’t have specific crypto laws yet, so Web3 projects don’t need special licenses. It’s unregulated, but still legal. Plus, there’s 0% corporate tax on foreign income, making it a great place for innovation.To break it all down, I’m joined by Edgar Young, Partner at Pacifica Legal, a firm that’s helped over 270 Web3 companies incorporate in Panama.✅ OUR RESOURCES💌Join our weekly free newsletter and become a confident web3 Accountant ⁠https://www.theaccountantquits.com/newsletter⁠🤓 Join the FREE Crypto Accounting Class & learn how to start working in web3 accounting ⁠https://www.theaccountantquits.com/free-class⁠ 🙌 Join the next cohort of the Crypto Accounting Academy and learn how to manage a business using crypto ⁠https://www.theaccountantquits.com/crypto-accounting-academy⁠ ✊ Follow The Accountant Quits on Socials👉 LinkedIN: ⁠https://www.linkedin.com/school/the-accountant-quits⁠ 👉 Twitter(X): ⁠https://x.com/accountantquits⁠ 👉 YouTube: ⁠https://www.youtube.com/@theaccountantquits⁠ 🎙️ Follow Episode Guest Edgar Young: https://www.linkedin.com/in/dr-edgar-young-773a86218/🎧 WebsiteFor show notes and past guests, please visit ⁠https://www.theaccountantquits.com/podcast⁠ Topics covered;(0:00) Coming Up(0:51) Episode intro(2:35) How Pacifica Legal started(5:53) Panama’s crypto evolution(7:42) Tax environment in Panama(13:17) Tax obligations for founders from Panama(18:38) Thanks to our sponsor Octav(20:20) Token launch setup with SPV & Foundation(24:24) Controlling interest in subsidiaries(26:07) How funds flow between entities(26:56) Setup time & costs(27:51) Sociedad Anónima vs. Foundation(33:20) Bearer shares in Panama(35:42) DAO setup in Panama(38:14) DAO distributions to token holders(39:14) Thanks to our sponsor Request Finance(40:53) Panama v/s Cayman Foundations(45:12) Ownerless Foundation in Panama(47:11) Reputation risks(50:56) Crypto-friendly banks(55:19) Going bankless?(57:04) Pacifica’s crypto legal services(58:17) Onboarding process(59:12) Filing & Compliance(01:01:23) Final Thoughts(01:03:14) Reach out to Edgar

Banking has always been about trust and control. Neobanks upgraded the user experience, but the system remained centralized.Now, we’re in the third wave: DeFi banks, a non-custodial, blockchain-based, and fully user-controlled.Leading this shift is EtherFi, offering a seamless way to save, earn, and spend without traditional banks. Think fiat on/off ramps, asset deployment into BTC, ETH, stables, staking, swapping, and more all in one place.Jozef Vogel, COO of EtherFi, shares how finance professionals can start using these tools in their day to day business.✅ OUR RESOURCES💌Join our weekly free newsletter and become a confident web3 Accountant https://www.theaccountantquits.com/newsletter🤓 Join the FREE Crypto Accounting Class & learn how to start working in web3 accounting https://www.theaccountantquits.com/free-class 🙌 Join the next cohort of the Crypto Accounting Academy and learn how to manage a business using crypto https://www.theaccountantquits.com/crypto-accounting-academy ✊ Follow The Accountant Quits on Socials👉 LinkedIN: https://www.linkedin.com/school/the-accountant-quits 👉 Twitter(X): https://x.com/accountantquits 👉 YouTube: https://www.youtube.com/@theaccountantquits 🎙️ Follow Episode Guest Jozef Vogel: https://www.linkedin.com/in/jozefvogel/ 🎧 WebsiteFor show notes and past guests, please visit https://www.theaccountantquits.com/podcast Topics covered;(0:00) Coming Up(0:31) Episode intro(2:38) ether.fi’s growth to $6.8B TVL(6:47) Ether.fi as a DeFiBank - save, earn, & spend(12:32) Thanks to our sponsor Octav(14:15) Ether.fi’s liquid vaults for DeFi rewards(16:20) Onboarding for institutions(18:12) Use cases for off ramping product(20:34) ether.fi’s business model & why DeFi can outperform TradFi(23:59)  Transparency in DeFi (25:15) Subledgers for public DeFi reporting?(26:20) ether.fi Cash product(28:04) Thanks to our sponsor Request Finance(29:34) ether.fi’s corporate card features(31:19) What is a BIN sponsor(32:20) How borrowing works in ether.fi(34:32) Strategy to reach CeFi & neobank users(35:52) Licensing & navigating global regulation.(37:06) Do web3 projects still need a bank?(39:16) Hiring at ether.fi (40:13) Final thoughts(40:44) Partnership opportunities(41:41) Connect with Jozef

In practice, token launches are often delayed, and that can slow down the entire roadmap of a web3 project.Once there’s a traded price for a token, it’s difficult to walk it back. Post-launch valuations are often magnitudes higher than pre-launch ones. That’s why valuation reports have a limited shelf life, and why getting it right matters.My guest is Neil Thakur, Managing Director and Founding Member at Teknos Associates, a crypto valuation & advisory firm.If you’re in the middle of launching a token or structuring your SAFT with lawyers and advisors, this episode could help you avoid some costly mistakes.✅ OUR RESOURCES💌Join our weekly free newsletter and become a confident web3 Accountant ⁠⁠⁠⁠⁠⁠https://www.theaccountantquits.com/newsletter⁠⁠⁠⁠⁠⁠🤓 Join the FREE Crypto Accounting Class & learn how to start working in web3 accounting ⁠⁠https://www.theaccountantquits.com/free-class⁠⁠🙌 Join the next cohort of the Crypto Accounting Academy and learn how to manage a business using crypto ⁠⁠⁠⁠⁠⁠https://www.theaccountantquits.com/crypto-accounting-academy⁠⁠⁠⁠⁠⁠ ✊ Follow The Accountant Quits on Socials👉 LinkedIN: ⁠⁠⁠⁠⁠⁠https://www.linkedin.com/school/the-accountant-quits⁠⁠⁠⁠⁠⁠ 👉 Twitter(X): ⁠⁠⁠⁠⁠⁠https://x.com/accountantquits⁠⁠⁠⁠⁠⁠ 👉 YouTube: ⁠⁠⁠⁠⁠⁠https://www.youtube.com/@theaccountantquits⁠⁠⁠⁠⁠⁠ 🎙️ Follow Episode GuestNeil Thakur: https://www.linkedin.com/in/neilkthakur/🎧 WebsiteFor show notes and past guests, please visit ⁠⁠⁠⁠⁠⁠https://www.theaccountantquits.com/podcast⁠⁠⁠⁠⁠⁠ Topics Covered:(0:00) Coming Up(0:59) Episode intro(2:49) When to get a token valuation & pitfalls(9:14) Shelf life of a token valuation report(11:25) IP valuation & transfer pricing issues(16:04) Transfer pricing for LabCo, Token SPV & Foundation(18:47) Thanks to our sponsor Request Finance(20:27) Token grants & valuation(24:27) Differences with  common option grants (27:42) Checklist for  structuring token grants(31:16) Tax savings through 83b election filing(38:02)  Pricing methodologies for a token pre-launch(44:00) Thanks to our sponsor Octav(45:40) What if you forgot to file a 83(b) election(48:05) Donations and gifting with HNW individuals (50:31) M&As in web3 & valuation issues(53:49) Provisions for protection against token considerations for M&As(55:19) Level 2 and Level 3 crypto assets(01:00:40) Overview of Teknos Associates services(01:04:33) Onboarding of a client(01:07:35) Services after a token launch(01:09:31) Closing thoughts(01:12:26) Reach out to Neil

Before a token hits the market, founders face complex legal and tax decisions that can make or break their project.Where to incorporate? What type of token to issue? How does your personal residency affect taxes?On Ep. 89, I’m joined by Jonathan Turnham, Managing Partner at NXT Law, who’s helped launch over 350 Cayman Foundations and advised crypto projects since the ICO era.If you're involved in a token launch, this episode could save you from major legal headaches.✅ OUR RESOURCES💌Join our weekly free newsletter and become a confident web3 Accountant ⁠⁠⁠⁠⁠https://www.theaccountantquits.com/newsletter⁠⁠⁠⁠⁠🤓 Join the FREE Crypto Accounting Class & learn how to start working in web3 accounting ⁠https://www.theaccountantquits.com/free-class⁠🙌 Join the next cohort of the Crypto Accounting Academy and learn how to manage a business using crypto ⁠⁠⁠⁠⁠https://www.theaccountantquits.com/crypto-accounting-academy⁠⁠⁠⁠⁠ ✊ Follow The Accountant Quits on Socials👉 LinkedIN: ⁠⁠⁠⁠⁠https://www.linkedin.com/school/the-accountant-quits⁠⁠⁠⁠⁠ 👉 Twitter(X): ⁠⁠⁠⁠⁠https://x.com/accountantquits⁠⁠⁠⁠⁠ 👉 YouTube: ⁠⁠⁠⁠⁠https://www.youtube.com/@theaccountantquits⁠⁠⁠⁠⁠ 🎙️ Follow Episode GuestJonathan Turnham: ⁠https://www.linkedin.com/in/jonathan-turnham/🎧 WebsiteFor show notes and past guests, please visit ⁠⁠⁠⁠⁠https://www.theaccountantquits.com/podcast⁠⁠⁠⁠⁠ Topics Covered:

The investment fund industry is massive, spanning everything from mutual funds and hedge funds to private equity and ETFs. But something’s changing.Finance is shifting from slow, opaque off-chain transactions to fast, transparent on-chain finance. Tokenized funds are here, with institutional AUM now over $470 million (rwa.xyz).Leading this evolution is MG Stover, managing $40billion+ in digital assets and now part of Securitize, a leader in tokenizing real-world assets ($3.7billion on-chain). Their latest innovation? Otto, an app designed for institutional digital asset funds.On Ep. 88, I speak with Patrick Clancy, Head of Growth at MG Stover, about fund administration for digital assets, how to launch a digital assets fund, and the tech driving them.✅ OUR RESOURCES💌Join our weekly free newsletter and become a confident web3 Accountant ⁠⁠⁠⁠https://www.theaccountantquits.com/newsletter⁠⁠⁠⁠🤓 Join the FREE Crypto Accounting Class & learn how to start working in web3 accounting https://www.theaccountantquits.com/free-class🙌 Join the next cohort of the Crypto Accounting Academy and learn how to manage a business using crypto ⁠⁠⁠⁠https://www.theaccountantquits.com/crypto-accounting-academy⁠⁠⁠⁠ ✊ Follow The Accountant Quits on Socials👉 LinkedIN: ⁠⁠⁠⁠https://www.linkedin.com/school/the-accountant-quits⁠⁠⁠⁠ 👉 Twitter(X): ⁠⁠⁠⁠https://x.com/accountantquits⁠⁠⁠⁠ 👉 YouTube: ⁠⁠⁠⁠https://www.youtube.com/@theaccountantquits⁠⁠⁠⁠ 🎙️ Follow Episode GuestPatrick Clancy: https://www.linkedin.com/in/keepingitpc/ 🎧 WebsiteFor show notes and past guests, please visit ⁠⁠⁠⁠https://www.theaccountantquits.com/podcast⁠⁠⁠⁠ Topics Covered:(0:00) Coming Up(0:49) Episode intro(3:50) Challenges with digital assets fund admin(5:35) Difference between fund admin & fund manager(8:05) Working with regulated custodians(9:20) Operational setup, including NAV reporting(13:02) Gaps in DeFi tooling(15:47) Thanks to our sponsor Request Finance(17:26) Fund structures for digital assets(23:10) Capital markets narratives (27:58) Tipping point for tokenized funds(30:42) History of MG Stover with crypto fund admin(34:54) Acquisition by Securitize(36:11) Thanks to our sponsor Octav(37:52) Otto, a tool for fund administration(41:33) Otto v/s subledger v/s Allvue(45:01) Growth initiatives for Otto(49:09) Closing education gap for accountants(52:11) Closing thoughts(53:05) Patrick’s favourite maxim

Tokenization is hitting an inflection point, with $4–5 trillion in digital securities expected by 2030.Crypto accounting has come a long way from the Wild West days, but challenges remain for crypto accountants.Regulators and accounting bodies are stepping in, and a real crypto finance stack is finally emerging.On Episode 87, I'm joined by Chandan Lodha, Co-Founder of CoinTracker, who’s helped 2.5M+ users with crypto taxes and is now tackling enterprise accounting with a new crypto subledger.✅ OUR RESOURCES💌Join our weekly free newsletter and become a confident web3 Accountant ⁠⁠⁠https://www.theaccountantquits.com/newsletter⁠⁠⁠🙌 Join the next cohort of the Crypto Accounting Academy and learn how to manage a business using crypto ⁠⁠⁠https://www.theaccountantquits.com/crypto-accounting-academy⁠⁠⁠ ✊ Follow The Accountant Quits on Socials👉 LinkedIN: ⁠⁠⁠https://www.linkedin.com/school/the-accountant-quits⁠⁠⁠ 👉 Twitter(X): ⁠⁠⁠https://x.com/accountantquits⁠⁠⁠ 👉 YouTube: ⁠⁠⁠https://www.youtube.com/@theaccountantquits⁠⁠⁠ 🎙️ Follow Episode GuestChandan Lodha: https://www.linkedin.com/in/clodha/ ⁠⁠⁠⁠🎧 WebsiteFor show notes and past guests, please visit ⁠⁠⁠https://www.theaccountantquits.com/podcast⁠⁠⁠ Topics Covered;(0:00) Coming Up(0:41) Episode intro(2:25) Founding CoinTracker(4:29) How did Google work experience help(6:42) Challenges for businesses with crypto accounting(9:16) Why launch a subledger(14:21) Thanks to our sponsor Octav(16:03) How to build a subledger(19:42) Crypto tax tool v/s subledger(22:34) Should subledger offer AR/AP features(27:14) CoinTracker Enterprise & its subledger features(30:18) Can enterprise users generate tax reports(32:36) Learnings building a subledger(35:58) Thanks to our sponsor Request Finance(37:39) Marketing CoinTracker Enterprise(40:34) Upcoming features(41:35) Career opportunities for accountants with crypto(43:46) Practical steps to start using crypto in a business(45:43) Closing Thoughts(46:58) Get $500 off from CoinTracker Enterprise(47:20) Favourite quote

Fractional leadership is booming, especially in web3.Startups can tap into C-suite expertise without the full-time salary. But once VC money hits, if your financial ops aren’t solid, you’re not scaling, you’re stalling.Enter the Fractional CFO: a strategic partner handling fundraising, treasury, and audit readiness.In this episode, I chat with Nauman Mustafa (Managing Partner at HashLedger & CFO at Celo Foundation) about what it takes to launch a Fractional Web3 CFO practice.✅ OUR RESOURCES💌Join our weekly free newsletter and become a confident web3 Accountant ⁠⁠https://www.theaccountantquits.com/newsletter⁠⁠🙌 Join the next cohort of the Crypto Accounting Academy and learn how to manage a business using crypto ⁠⁠https://www.theaccountantquits.com/crypto-accounting-academy⁠⁠ ✊ Follow The Accountant Quits on Socials👉 LinkedIN: ⁠⁠https://www.linkedin.com/school/the-accountant-quits⁠⁠ 👉 Twitter(X): ⁠⁠https://x.com/accountantquits⁠⁠ 👉 YouTube: ⁠⁠https://www.youtube.com/@theaccountantquits⁠⁠ 🎙️ Follow Episode GuestNauman Mustafa: ⁠https://www.linkedin.com/in/naumannazim/🎧 WebsiteFor show notes and past guests, please visit ⁠⁠https://www.theaccountantquits.com/podcast⁠⁠ Topics Covered;(0:00) Coming Up(0:55) Episode intro(3:00) Why launch a web3 Fractional CFO practice?(8:57) Fractional CFO v/s full-time CFO(13:11) Costs of hiring a Fractional CFO(19:57) Get 14 days for free on Octav(21:38) Pricing mistakes as a Founder(27:01) How to onboard a new client(30:43) Fundraising & CFO role(33:11) Knowledge gaps for a web2 CFO with fundraising(34:53) Get 2 months for free on Request Finance(36:30) Hiring & building a team(41:30) Systems that can scale a Fractional CFO practice(43:12) Web2 & web3 tech stack(45:48) HashLedger CFO services(49:24) Advice for accountants to work in web3(52:42) Nauman’s maxim(53:29) Reach out to Nauman

In traditional finance, Treasury Management is a well-documented practice with plenty of guidance and literature. But in web3, many of those concepts don’t quite apply.Foundations, DAOs, and other web3 startups often hold their treasuries in wallets, with those assets remaining idle.But by strategically allocating part of their treasury to generate yield, these organizations can create an additional revenue stream to help finance daily operations.The companies that understand DeFi tend to have a longer runway. They burn less of their initial funding because DeFi yield covers some or all of their working capital needs. But how do you identify the right protocols? How do you invest according to your risk profile and revenue goals?On Episode 85, I spoke with Mathieu Baril, the CEO & Founder of Octav, to provide us with the tips & tricks on managing a treasury in crypto, & how to leverage DeFi yield. ✅ OUR RESOURCES💌Join our weekly free newsletter and become a confident web3 Accountant ⁠https://www.theaccountantquits.com/newsletter⁠🙌 Join the next cohort of the Crypto Accounting Academy and learn how to manage a business using crypto ⁠https://www.theaccountantquits.com/crypto-accounting-academy⁠ ✊ Follow The Accountant Quits on Socials👉 LinkedIN: ⁠https://www.linkedin.com/school/the-accountant-quits⁠ 👉 Twitter(X): ⁠https://x.com/accountantquits⁠ 👉 YouTube: ⁠https://www.youtube.com/@theaccountantquits⁠ 🎙️ Follow Episode GuestMathieu Baril: https://www.linkedin.com/in/mbaril010/🎧 WebsiteFor show notes and past guests, please visit ⁠https://www.theaccountantquits.com/podcast⁠ Topics Covered;(0:00) Coming Up(0:57) Episode intro(2:44) Mathieu’s background & story founding Octav(4:52) Cashflow forecasts for web3 startups(6:31) Investor updates learnings(7:56) Metrics for startups(8:50) Risk management with crypto(10:58) Sequoia anecdote(12:29)  DeFi v/s TradFi investments(16:16)  Generating yield in DeFi & borrowing with your tokens(17:59) Thanks to our sponsor Request Finance(19:37) Insurance cover for DeFi(21:18) Tokenized T-Bills v/s DeFi LPs(23:19) Octav as a DeFi data provider(24:42) Subledgers v/s Octav(26:53) How Beefy Finance uses Octav(28:24) Machine learning model of Octav(30:20) Pricing per wallet address(31:27) Working with family offices(34:07) Challenges building Octav(36:13) Working with accounting & tax firms(38:51) Education around web3 treasury management(39:55) Favourite maxim(41:05) Reach out to Mathieu

Crypto sub-ledgers have evolved from their early days when they would only be required to categorize onchain transactions and calculate the realized gain/loss under the appropriate cost basis method.To satisfy their existing customers and bring new players into the industry, sub-ledgers have to adapt to new requirements from local GAAP & IFRS, and regional regulatory requirements like MiCA in Europe or VARA in the UAE. Finding a sub-ledger that only provides crypto bookkeeping features is no longer sufficient. You need one that addresses regulatory & audit readiness. For over six years, Cryptio has powered the crypto back office of more than 400 organizations, including industry heavyweights like Circle, Uniswap, Consensys, Gemini, Paxos, 1inch, Transak, and even the government of El Salvador. On Episode 84, I spoke with Antoine Scalia, the CEO & Founder of Cryptio, to share how they’re building their platform’s 3rd generation to meet regulatory, audit & accounting requirements. ✅ OUR RESOURCES💌Join our weekly free newsletter and become a confident web3 Accountant https://www.theaccountantquits.com/newsletter🙌 Join the next cohort of the Crypto Accounting Academy and learn how to manage a business using crypto https://www.theaccountantquits.com/crypto-accounting-academy✊ Follow The Accountant Quits on Socials👉 LinkedIN: https://www.linkedin.com/school/the-accountant-quits 👉 Twitter(X): https://x.com/accountantquits 👉 YouTube: https://www.youtube.com/@theaccountantquits 🎙️ Follow Episode GuestAntoine Scalia: https://www.linkedin.com/in/antoine-scalia/ 🎧 WebsiteFor show notes and past guests, please visit https://www.theaccountantquits.com/podcast Topics Covered:(0:00) Coming Up(0:55) Episode intro(3:08) Series A extension raise & what has changed since 2021(6:16) Macroeconomic shifts happening(8:41) Company culture & branding(12:49) Learnings from hiring(15:57) Does 100% remote work?(17:29) Lack of transparent pricing with subledgers(22:47) How to choose the right Cryptio product( 24:46) Thanks to our sponsor Octav(26:27) What is Cryptio Bedrock(30:41) Fair value module & roll forward reports(34:13) Choosing multiple pricing sources for principal market(36:35) How does Cryptio support a new blockchain(38:39) SOC reports for subledgers(45:22) Use cases for SOC reports(49:15) Audit readiness module(52:41) Thanks to our sponsor Request Finance(54:21) Should subledgers offer payment & main ledger features?(59:47) Multi inventory feature for custodians & exchanges(01:04:51) Gaps in crypto accounting education(01:08:47) Learning habits(01:11:13) Are you surprised by your success?(01:13:44) Career opportunities at Cryptio(01:14:44) Reach out to Antoine

The extra steps needed to tap into DeFi protocols often intimidate web3 companies from putting idle capital to work.Many of these companies hold large amounts of stablecoins like USDC and USDT, sitting idle and earning no yield.Since the start of 2025, Coinshift has been redefining how users earn passive income on stable assets through their liquid lending token, csUSDL, backed by U.S. Treasury Bills.Unlike traditional stablecoins like USDC, where users need to actively lend or stake to generate yield, csUSDL is designed to earn yield natively.On Episode 83, I spoke with Tarun Gupta, Founder & CEO of Coinshift, to talk about the company’s business model evolution, what this pivot means for the broader stablecoin market, and how csUSDL is positioning itself in an increasingly competitive space.✅ OUR RESOURCES💌Join our weekly free newsletter and become a confident web3 Accountant https://www.theaccountantquits.com/newsletter🙌 Join the next cohort of the Crypto Accounting Academy and learn how to manage a business using crypto https://www.theaccountantquits.com/crypto-accounting-academy ✊ Follow The Accountant Quits on Socials👉 LinkedIN: https://www.linkedin.com/school/the-accountant-quits 👉 Twitter(X): https://x.com/accountantquits 👉 YouTube: https://www.youtube.com/@theaccountantquits 🎙️ Follow Episode GuestTarun Gupta: https://www.linkedin.com/in/tarun-gupta-1a0973a1/  🎧 WebsiteFor show notes and past guests, please visit https://www.theaccountantquits.com/podcast Topics covered; (0:00) Coming Up(0:48) Episode intro(2:42)  Why pivot & launch a stablecoin(10:27) Business model for payments(12:25) Business model of stablecoin issuers( 17:51) Thanks to our sponsor ⁠Octav⁠(19:32) Coinshift’s new stablecoin, csUSDL(21:20) Paxos USDL v/s Circle USDC(23:25) Morpho & Steakhouse Financial(27:11) UX of minting csUSDL(28:54) Paxos USDL & regulatory constraints(31:05) USDC and USDT v/s csUSDL(34:33) Thanks to our sponsor ⁠Request Finance⁠(36:11) Challenges on csUSDL liquidity(38:19) Team challenges in 2024(40:11) Coinshift DAO & SHIFT token(42:54) Coinshift’s vision(45:08) Lessons learned as a Founder(50:36) Reach out to Tarun