Coinbooks Insights

A Guide on Using Coinbooks With Your Existing ERP Software

Coinbooks Team
Published on:
December 9, 2022

Need for Integrations

At Coinbooks, we have hundreds of organizations, crypto hedge funds and enterprises using our integrations to sync millions of crypto transactions to update their books in their fiat accounting solutions. One of the major moats of Coinbooks is that we are a super proactive team obsessed with customer experience, we listen to customer feedback, and build whatever is necessary to help our customers close their monthly books. In this article, we are going to explore all of the different insights and best accounting practices we discovered helping our customers deal with syncing crypto transactions and keeping their balances updated through our integrations.

One of the most critical value add of any crypto accounting software is that all crypto transactions should be pulled in realtime and synced over to existing fiat accounting tools of the customer. Customers also want to transform and categorize data before syncing them over to their accounting tool to better identify the transactions on the other end.

Tools like Koinly solve this problem partially - They autosync your transactions from different sources but don’t sync their transactions to your SMB solutions like Quickbooks. This results in customers manually exporting CSV’S and re-entering them as journal entries in Quickbooks which is super cumbersome when you have even have 100’s of transactions per day. Most enterprises we onboard have million transactions a day, imagine doing this manually, the task becomes impossible. Any great crypto accounting tool should help customers seamlessly sync millions of transactions in a single click or maybe no input at all ? Could we do crypto accounting on Autopilot ? Keep reading to find out.

How accounting integrations work over at Coinbooks ?

Coinbooks now supports 20+ integrations including Quickbooks, Zero, Sage intact, Netsuite - helping organizations maintain their books seamlessly by syncing millions of crypto transactions in a single click! For the sake of simplicity, lets take QBO as an example - To get started, connect your accounting solution with Coinbooks from the integrations Tab.

Once logged in with the accounting integration of choice, users are redirected to the integrations dashboard.

Integrations Dashboard

Debunking the dashboard

Let's break down the dashboard. Coinbooks allows you to work with integrations in two modes :  autosync and Custom mode ( Map my own accounts).

Coinbooks Auto Sync is the default mode in which Coinbooks automatically creates ASSET accounts with the name of the token that affects the balance. And all the customer has to do is set the two accounts which does not affect the balance.

Autosync setup

So the user chooses only two accounts in his end, with that set everything else is pretty much set! Users can move ahead to the transactions tab and start syncing individually or in batches.

Transactions tab with batch sync and QB sync controls

Our insight on when to use Coinbooks auto sync is if your an accounting firm with a lot of startups with <10,000 transactions, Granular control isn't something that's going to reward your time effort, so we make it super easy by automating one side of the transactions while allowing you to set the other side making the whole process less cumbersome and quick.

Coinbooks custom mode

In Coinbooks custom mode, you get to choose debit and credit both sides of a transaction, this is our most used mode. Users set up their crypto chart of accounts in QBO creating all necessary accounts. Once this is done, navigate to coinbooks integrations and click setup chart of accounts.

Chart of accounts setup

Navigating over to the transactions tab, and clicking on sync yields new options

Sample : This is an outgoing transaction , users can set debits and credit accounts for the outgoing transaction along with the accounts for fee.

Invoice and Bill payments

Coinbooks also allows you to associate an  Invoice or Bill payment with a journal entry. While syncing the journal entry, we also mark the invoice as Paid and link the invoice over to the journal entry. Same goes for Bill payments, except users have to input the account to track the AR. Quickbooks by default uses AR for fiat payments, unfortunately crypto transactions are tracked in  accounts that we create. To keep track you can create a BANK type account in QBO called Digital Assets and choose it in the dropdown before syncing. This feature saves a ton of time for users who do invoices in crypto and bill payments.

Automating Syncing to QBO:

We have two ways of automating the process of syncing transactions into a single click or no clicks.

Mass sync 

Mass sync allows you to group a bunch of transactions into one bucket and sync them all at once in a single click by pre-setting their chart of accounts.

Create a new rule, set the chart of accounts for that rule. Once this is done, click on Add parameter.

The add parameter allows you to construct a rule to fetch your desired transactions into one group.

This rule fetches all transactions in one wallet into one group under the rule `Rule1`.

We can further more add new parameter to target specifically. This rule adds more specificity where we track all incoming transactions in a specific wallet.

Once we finish setting up the rule, we can mass sync all of these transactions in one single click. This saves hours and days of time if you have a lot of transactions that cant be manually synced serially.

Enable summary : Mass sync summarization

Mass sync summarization helps us to sync millions of transactions within seconds. If an organization has more inflow of transactions beyond 10,000 a day, QBO or any accounting solution starts glitching and gets bloated up that everything becomes slow due to the volume. To make this better, we recommend our customers to use Enable summary which takes a million transaction - does all the calculations for the amount behind the scenes and syncs it up to QBO as one journal entry instead of millions saving days of time. This is one of our most used features by enterprise and bigger projects who have massive volume. 

Coinbooks Autopilot

Coinbooks autopilot allows you to schedule your mass sync at a specific time period every month. So once you have setup the mass sync rules in Coinbooks. We take care of running these syncing activities for you periodically based on the user input. Users can at any time pause or delete or check the status of the job scheduled at any point in the dashboard.

These are features that we built from customers who use the product everyday and every feature listed here is being used to close monthly books. To validate how Coinbooks integration is 10x better than what's out there. We came up with a comparison table to help customers with due diligence.

Disclaimer : These are features that are subjected to integrations and journal entries. This table is recorded at 29th november.

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