What 26 US utilities do when they detect DIY backfeed and the requirements before you energize .. now a free lookup with sources

A few days ago I posted a table of what 10 utilities do when they detect DIY backfeed (the "PO CO caught me" thread). A bunch of you asked for your utility and a few of you contributed procedures and enforcement stories, so instead of letting it rot in a reddit table I put the whole thing as a link in my bio.

Whats in it now:

26 utilities including everything requested in the thread (PSE, JCP&L, National Grid NY, PECO, Pepco, CMP, FPL, Avista, AEP Ohio, UGI, BGE, DTE, NV Energy, and my first co-op, Nolin RECC in Kentucky).

Every claim is tagged and documented (from the tariff etc), reported (credible user reports, dated), or being verified (row in progress). wittgensteins-boat suggested adding dates and citations, so every row now has source links straight to the tariff, handbook, or PUC page, plus a last-checked date and a button to flag a stale row

There's also a plug-in solar status strip (live in UT, ME, MD, VA now) and the zero-export notes from the thread as rhat was the majority of qs received

Credit where due the NorthWestern MT row is rwright07's full DIY sequence, the Georgia Power enforcement column is M7451's experience, and the APS detection entry ("they sent a tech when my permitted system STOPPED backfeeding") is AZbees

Free, no ads etc. Same caveats as before eg this is research from tariff documents and reported cases, not legal advice, and utilities change this stuff constantly, so read your own tariff before spending money!!

Which utility should I add next? And if your poco ever caught you (or conspicuously didn't), drop the story, the enforcement column is the hardest part to fill from documents

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u/Findep18 — 11 hours ago

That "PO CO Caught Me" thread sent me down a rabbit hole, so I looked up what 10 utilities do when they detect DIY backfeed

That thread bugged me cause the answers were all anecdotes..one guy gets a truck sent after a drone flight, another guy backfeeds for a year and his poco never says a word. Soi spent some time getting interconnection handbooks, tariff filings and PUC docs for 10 utilities to see what the written rules and reported cases say

Sharing in case it saves someone a bad surprise...

Utility How they detect If they catch you DIY notes
PG&E (CA) AMI meters flag reverse flow, aerial/drone line patrols reported by users (!) letter first, then interconnection application or removal PTO required before export, owner-builder self install allowed with permits, NEM3 net billing
SCE (CA) AMI reverse flow (!) same as PG&E, NEM3
SDG&E (CA) AMI reverse flow (!) same, NEM3
Duke (NC/FL) (!) (!) (!) monthly netting rider since 2023, check self install rules
Eversource (MA/CT) (!) (!) (!) MA net metering near retail for small systems
Duquesne Light (PA) (!) (!) PA net metering, (!) self install status
Rocky Mountain Power (UT) (!) (!) plug-in systems up to 1.2 kW exempt from interconnection since HB 340
Oncor (TX) TDU meter data, note some older meters register exports as consumption so you pay for what you send out (!) deregulated, buyback depends on your retail provider not Oncor
APS (AZ) (!) (!) RCP export rate, steps down yearly
SRP (AZ) (!) (!) solar customers get moved to specific price plans, check before sizing
PSE (WA) AMI reverse flow letter first (reported) apply via PowerClerk before construction, approval to construct required, credits expire Mar 31 yearly
National Grid (NY) AMI, statewide SIR portal (!) apply via portal before install, no fee <50kW, ~4-8 wks to PTO, CBC charge post-2022, plug-in bill awaiting signature
JCP&L (NJ) (!) (!) Level 1 <10kW free, portal, no energizing before approval to operate, inverter settings file required, 1:1 NEM
PECO (PA) (!) (!) Level 1 <10kW free, owner-install box on PA form, Philly wants PECO app before L&I permit, 1:1 NEM + May 31 cash-out
Pepco (DC/MD) (!) (!) Green Power Connection portal, written approval before install/operate, DC PTO 12-24 wks, MD plug-in legal since May 2026, DC bill pending
CMP (ME) (!) (!) NEB kWh credits, apply + agreement before energizing, plug-in law live July 2026: <420W no electrician, 420-1200W electrician
FPL (FL) (!) (!) Tier 1 <10kW free, no insurance req until >10kW, approval before operating, no plug-in law
NorthWestern (MT) (!) (!) $25 agreement <100kW, homeowner permit + electrician sign-off, export only after NWE gets signed forms (user-reported, 9/2025)
Georgia Power (GA) (!) reported tolerant of backfeed while PTO application pending (user report) (!)
Avista (WA) (!) (!) apply BEFORE purchase/install (their wording), ~20 biz days to approval, self-install acknowledged, <100kW NEM, credits reset Mar 31
AEP Ohio (!) (!) ISA signed before install, field verification after, ~$319 meter fee, exports paid at ~11c generation rate only (post-HB6), size ≤120% of usage
UGI (PA) (!) (!) standard PA PUC Level 1 <10kW, owner-install recognized, 1:1 NEM + annual cash-out, small utility = manual process

edit: added PSE, JCP&L, PECO, PEPCO, CMP, and 5+ more by request

detection/enforcement cells still being filled in, drop reported cases if you have them

(!): verifies the utilities are documented acting on momentary events vs sustained export

A few things that stood out to me

Every single one of the 10 requires a signed interconnection agreement before you energize.. so not after they notice but before you flip the switch. The cheapest order of operations looks like 1) permit 2) interconnection approval 3) buy hardware.several people in past threads learned that in the expensive direction

The "zero export" battery setups are not invisible and grid interactive units chasing load will overshoot for a moment when a big appliance kicks off where AMI meters log those reverse flow intervals, and that seems to be exactly how the guy in the original thread got flagged..

Utah is the odd one out where plug-in setups up to 1.2 kW are legal there without an interconnection agreement since last year, and a bunch of states have copycat bills moving. Everywhere else the old rules apply no matter how small your setup is.

Usual caveats like this is from tariff documents and reported cases, not legal advice, and utilities change this stuff constantly. Treat it as a starting point and read your own tariff!!

I only got through 10. If you want yours, name the utility in the comments and I'll dig it up and add it to the table. Also debating whether to turn this into a free lookup covering every US utility, so tell me if that would be useful or if everyone just calls their poco anyway..

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u/Findep18 — 5 days ago

How do you keep track of which brands are still safe to recommend?

I run a small RV solar business and th Battleborn situation messed me up. I had them on my website, in my quote templates recommended them to customers for two years. Found out about the connection issue stuff through Will Prowse like everybody but by that point ive already quoted them to three clients thatmonth..

I had to pulled their logo off my site the same week but it got me thinking about how reactive I am with this stuff. I basically find out a product has problems the same way my customers do... like reddit, youtube word of mouth and by then Ive already been recommending it.

With all the spec sheet changes and warranty policy updates and firmware issues lawsuits i simply don't have a system for catching any of it. I just kinda hope I see it scroll by in my feed. For 15+ SKUs across like 8 brands thats not great.

Curious if anyone else selling or installing solar gear has dealt with this?? Do you have any process for staying on top of product risk or do you just wing it like me?

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u/Findep18 — 5 days ago
▲ 2 r/SaaS

DO NOT use AI to generate SaaS ideas. Here is a data-driven, science nerd method I used to find hypotheses instead.

Im experimenting with ways to find SaaS ideas and fully realized AI sucks in market research.

If you ask your fav LLM youll usually get the following crap:

  • fake confidence
  • badly cited source material (claude cant even access reddit?!)
  • cant read upvotes or other useful data
  • hallucinated problems from 2 years ago
  • no way to verify anything

I want the opposite. eg. manually finding niche communities, clustering repeated complaints from the past week, finding the exact comments, and THEN creating SaaS hypotheses.. perfect for a data-driven numbers nerd like myself

The first test I ran was for the construction vertical. Which I know nothing about. But that was the whole pont eg can I find evidence of fresh pains in a vertical I am unfamiliar with?

I scanned, for june 20-27:

Source Rows
r/Construction 1,920
r/ConstructionManagers 809
r/estimators 422
Total 3,151

The best signal I found was that construction folks seem to struggle tracing estimate numbers back to drawings, PDFs, spreadsheets, assumptions, revisions etc. I made sure to locate exact evidence:

Score Receipt
53 missing product details had to be pushed to RFI
23 manual page renaming "hurts my soul
15 estimator moves PDF markups into Excel, then can't trace quantities later
7 tool praised because exported items jump back to source page
2 comment explicitly mentions audit trail + Excel export

The best hypothesis i came up with was thos, a lightweight audit trail for construction estimates where every quantity links back to the drawing or spec that produced it.

Much better business hypothesis than hallucinated AI startup ideas.

I posted this elsewhere and one person asked for "3D printing / FPV" vertical

That scan found a different wedge which is that FPV/drone builders seem unsure which 3D-printed parts are actually safe or durable enough vs which should just be bought.

They found it useful because it came with raw comments, scores, and links and none of the hallulu LLM garbage.

Anyway I'm having a lot of fun applying this to obscure industries. What is the most boring vertical you can think of? Comment your niche and I'll find what kind of real complaints are hiding in plain sight.

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u/Findep18 — 7 days ago

I tested a Reddit research workflow to find boring business ideas - my first run

Im trying to build a portfolio of small boring micro-SaaS products

The hardest part for me was always choosing a problem that is real enough for testing.

I kept trying AI tools for idea research but the output was mostly useless, with crappy pain points, no upvote or context data and stuff like bad sources

I'm a real numbers nerd so I want to see the data so I can to scientific hypothesis testing

So I tried a more manual workflow:

  1. pick a boring vertical
  2. pull recent Reddit threads+comments directly
  3. cluster repeated complaints
  4. keep only hypotheses with exact comments, scores, and links
  5. use the result to decide what to test next

I ran my first run on the Construction vertical

I dont know much about construction but that was the whole point. I wanted to see if the data would surface anything interesting in a field I am not familiar (on purpose)

The data I got:

Source Rows
r/Construction 1,920
r/ConstructionManagers 809
r/estimators 422
Total 3,151

The cleanest signal I found was pretty specific

People who estimate construction costs seem to struggle with tracing numbers back to drawings, PDFs, spreadsheets, assumptions, revisions.

The evidence I found to support this hypothesis:

Score Evidence
53 Real takeoff where missing product details had to be pushed to RFI
23 Manual page renaming “hurts my soul”
15 Estimator marks up PDFs, moves numbers into Excel, then struggles to find where quantities came from later

The business I think can be built is a lightweight audit trail for construction estimates where every Excel quantity links back to the drawing/spec/assumption that produced it

Now this is probably not a real validated business idea but its e a better starting point than "AI gave me 10 startup ideas"

The next test would be going into construction communities and asking something narrower like if they struggle with how to trace where their estimates / quantities come from

Can this workflow produce better starting hypotheses before I waste time building or interviewing around random ideas?

I can run a few other boring niches through the same process for fun

Comment a niche / vertical and Ill reply with a small scan like 1–2 business hypotheses with exact evidence, scores, and links

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u/Findep18 — 9 days ago

Is Reddit evidence a useful pre-validation step before customer interviews?

I'm testing a tiny validation workflow

My problem is before doing customer interviews, I often don't even know which problem hypotheses are worth testing.

And asking AI for “startup ideas” is usually garbage because it

  • misses source material
  • invents patterns
  • can't show clean evidence

So I tried a more scientific approach:

  1. pick a boring vertical
  2. pull Reddit threads/comments directly
  3. cluster repeated complaints
  4. keep only hypotheses with evidence like exact comments, scores, links, thread context
  5. use those hypotheses as inputs for interviews / validation posts

My first test was for the construction vertical:

Source Rows
r/Construction 1,920
r/ConstructionManagers 809
r/estimators 422
Total 3,151

The cleanest signal i got was

>Construction estimators may struggle to trace estimate numbers back to drawings, PDFs, spreadsheets, assumptions, and later revisions

With some sample evidence

Score Evidence
53 Real takeoff where missing product details had to be pushed to RFI
23 Manual page renaming “hurts my soul”
15 Estimator marks up PDFs, moves numbers into Excel, then struggles to find where quantities came from later

The main hypothesis igot out of this was

>Estimators need a lightweight audit trail where every quantity links back to the drawing/spec/assumption that produced it

Now im not claiming this is validated though it feels like a much better starting point than "AI gave me 10 SaaS ideas"

Curious, would you consider this useful pre-validation evidence or still fake signal until direct interviews/sales?

Also happy to run a few boring verticals through this.

Comment a vertical/niche and ill reply with 1–2 evidence-backed hypotheses with exact comments, scores, and links

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u/Findep18 — 9 days ago

I got tired of AI inventing pain points so I built an evidence-based subreddit pain miner.

No matter how you prompt your fav AI, it comes up with some bullshit microsaas ideas. Claude doesn't even have access to reddit, and Gemini just scrapes random text from "archive snapshots" meaning things like upvotes etc are totally lost.

In general AI does three bad things when you try to research new microsaas ideas:

  1. misses source material
  2. invents patterns
  3. can’t show evidence for why a pain is real

Why should you care about pain points from subreddits? Because obscure pain points are a gold mine for building hyper-niche microsaases.

So I built a small workflow that pulls the top subreddit threads/comments directly and turns them into evidence-backed pain hypotheses based on real data.

Every hypothesis needs:

  • exact comments
  • scores/upvotes
  • permalinks
  • thread context
  • a CSV evidence trail

I did my first test run on a random topic: construction.

I don't have a connection to construction I just wanted to check a boring vertical with real workflows.

All based on the top posts between 20th - 27th June from the below subreddits:

Subreddit Rows
r/Construction 1,920
r/ConstructionManagers 809
r/estimators 422
Total 3,151

Top signals

Rank Pain hypothesis Evidence Max score Confidence
1 People doing construction cost estimates struggle to trace numbers back to drawings, assumptions, PDFs, and spreadsheets 137 rows / 14 threads 53 High
2 Construction people are skeptical of AI tools unless outputs link back to source documents 72 rows / 7 threads 86 High
3 Small contractors lack a clean way to track subcontractor pricing/history 15 rows / 1 thread 13 Medium
4 Public bid submissions still involve weird paperwork, copies, deadlines, and hand-delivery rules 63 rows / 3 threads 105 Medium
5 Construction managers complain about meetings, RFIs, change orders, paperwork, and burnout 219 rows / 17 threads 65 Medium-low

The most interesting one was #1.

I don't even know what an estimator is, but at least I found some interesting patterns:

Estimators take construction drawings/specs, calculate quantities/costs, move stuff between PDFs/software/Excel, and later need to explain where every number came from.

Evidence examples:

Score Evidence
53 User posts a real takeoff where missing product details had to be pushed to RFI.
23 Commenter reacts to manual page renaming: “hurts my soul.”
15 Self-taught estimator says they mark up PDFs, move numbers into Excel, then struggle to find where quantities came from later.
11 Advice: name quantities with section/detail/size or you’ll forget what they mean.
7 Bluebeam recommended because clicking an exported item can jump back to the page/highlight.
2 Tool recommendation explicitly mentions “audit trail” + Excel export.
1 Commenter says every quantity should track back to plans, specs, or an assumption.

After some more investigation this was the most clear pain point + hypothesis business I found:

>“Audit trail for construction estimates: every Excel quantity links back to the drawing/spec/comment/assumption that produced it.”

Not claiming this is a good business.

Just saying this is the kind of evidence-backed hypothesis I find more useful than generic “AI found 10 SaaS ideas” bs

I’m mainly building this for my own PMF hunting, but I can run a few other niches through it.

Drop 3/4 subreddits for a vertical you care about and I’ll reply with a mini-scan with 1/2 pain hypotheses, exact evidence, scores, and links

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u/Findep18 — 10 days ago

Someone offered to buy my side project and asked to see the code, and i froze

I built a small SaaS on the side mostly with Claude. It makes some money and then someone slid into my DMs about buying it.. i didn't expected that

Then they asked to see the code just to check and I kind of just froze. I don't want to send my repo to a stranger who could rebuilt it and ghost me and half the people poking around arent even serious. But also honestly am not sure I could walk them through the architecture ifi tried, because I didnt exactly code it by hand

So I'm stuck cause i won't give repo access but i cant really prove it's solid anyway.

For anyone who's sold a side project when the buyer wanted to see the code, what did you do? am not looking for "put together a diligence pack" ... thats a ton of work for a small sale and i doubt most people really bother, so looking more for what you did in practice

Hand over the repo and hope theyre decent? refuse and lose the deal? or something in the middle like a call, a writeup, some stats, partial access to show it's not a mess without opening up the whole thing? dd it actually work?

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u/Findep18 — 1 month ago
▲ 4 r/SaaS

Built my SaaS mostly with AI and then a buyer asked how I know it won't rot, and I had nothing

Built most of this thing with AI over the last few months. It works, it makes some money and I'm happy with it but maybe a bit bored with it. Had someone who was interested in buying the business poke around recently and got the usual q's on revenue/churn but the q that surprised me was "how do I know this doesn't just fall apart in six months in a puddle of slop"

Honestly am not sure I could answer it. A lot of the code was written by Claude and I couldn't walk you through the architecture if my life depended on it. It runs just fine tough

Feels like a problem specific to this whole vibecoded wave. Buyers are starting to assume anything AI-built is spaghetti until proven otherwise, and the annoying part is I can't fully prove otherwise either

For anyone who's sold something they built mostly with AI HOW did you get the buyer comfortable it won't rot?? Did they actually check, or just take your word and did it cost you on price?

Right now my answer to this is a fat shrug

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u/Findep18 — 1 month ago

Buying cheap AI micro-SaaS, how do you check it's not trash before you offer?

I've been picking up small AI-built apps as a portfolio like small stuff on Acquire, Flippa, in DMs etc

A lot of it is good now as one person can ship something real in a weekend, and some have nice cash flows. The hard part is telling those from the dead ones before I make an offer. Plenty of what's listed are AI slop codebase generated 6 mos ago and never touched since.

At these prices you can't hire someone to review the code, and no seller hands over the repo before youve put anything on the table. Fine

What I've started doing is asking the seller to run quick CLI one liners (basically git log + dependency stats) and paste the output. Under a minute, exposes none of the actual code, and it at least tells me whether anyone's pushed a meaningful commit in 6 months, and whether the dependencies are ancient etc. Wont tell me the code is good but at least i get a rundown on some stats

Thinking about making it dumb simple like I send a link, seller copy pastes the output of a few one-liners in their terminal and I get a plain-English read.

Would you actually pay ~$49 to triage a deal this way, or not worth it at these price points?

And the part I can't judge: would a seller actually take a minute to copy paste the output of a few CLI lines, or complain the same way they do over repo access?

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u/Findep18 — 1 month ago

Tech key-man risk: Spotting a 1-dev house of cards pre-LOI (without asking for the code)

I look at a lot of SaaS and tech-enabled businesses. The biggest pre-LOI headache doesnt seem to be the financials but rather the codebase. You want to know if you're buying a half-abandoned repo or a one-dev house of cards, but no sane seller is giving you repo access before you sign anything....

But I realized you don't actually need their code to figure this out. You just need the metadata.

Lately, I’ve been asking sellers to run a quick read-only script in their terminal (basically just git log and dependency stats). It takes them less than a minute, exposes zero IP, and immediately flags the biggest risks:

  • Developer concentration eg. did one guy write 95% of the codebase? (Massive key-man risk)
  • Code rot eg. has anyone actually pushed a meaningful update in the last 6 months?
  • Tech debt eg. are the core dependencies three major versions behind?

I'm thinking about packaging this into a dumb-simple tool: Buyer sends a link, seller runs a 1-liner, buyer gets a plain-English risk report. No source code ever leaves their machine.

Two questions for the community..

Buyers: would you actually use this to triage deals pre-LOI? Is it worth paying ~$49 a pop to avoid a nightmare codebase?

The real test: would your sellers actually run a 1-minute script, or do you think they'd still balk the exact same way they do for repo access?

Curious if anyone has tried something similar or if sellers just get too defensive.

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u/Findep18 — 1 month ago

How do you assess tech risk before LOI on a software business when the seller won't share the code?

First-time buyer here mostly looking at SaaS and tech-enabled businesses. Same pre-LOI wall a lot of you hit on financials except mine is the codebase.

I can pressure-test the P&L and add-backs fine. What I can't see before signing is whether the tech itself is a liability eg is it one developer holding the whole thing together? Is it built on a framework three versions out of date? Infra costs about to balloon as it grows? Sellers won't give repo access to someone who hasn't put money down..

So I get together outside signals: code commit history, cloud bill, a dependency list, a short technical questionnaire w/ NDA. It's rough and I redo it from scratch every deal.

For anyone who's bought a software or tech-enabled business: how did you get comfortable with the tech before LOI? Skip it, pay a firm (what did it run you?), or just price it in?

And for those buying physical or service businesses: is tech even on your radar, or a non-issue next to financials and owner dependency?

Trying to figure out if this is a real problem or just me overthinking it because my targets are tech/code-heavy...

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u/Findep18 — 1 month ago

Spent 14 hours on a budget justification and i need to know if everyone else is also losing entire weekends to this

R01 resubmission is two weeks out, the science was done, the aims were done, and the weekend still got eaten by editing line items and rewording the same equipment description four times because NIH wants one framing and my pre-award office wants another... plus a solid hour figuring out where a $4k software license should be filed

A colleague last cycle got returned without review because his budget listed effort in calendar months in one place and percent in another, so six months of work came back over formatting, not rejected but returned which is somehow worse.

The maddening part is that NSF doesn't want what NIH wants, Horizon Europe is a different beast, and DOE has its own thing, so every one of them could be a template with checkboxes and instead it's a folk tradition passed PI to PI..

Two questions:

How many hours per submission are you spending on budget justification?

Second, do you have a system you'd share, like a template, a trained grad student, or a friend in pre-award you bribe with coffee??

Drop in comments or DM me, i'm happy to trade what i have for yours

And if you've ever been returned over a budget formatting issue please tell me which agency and what went wrong, because i want to know if this is an NIH problem, everyone problem, or me problem

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u/Findep18 — 2 months ago

Has anyone gotten a bank or cop to accept etherscan screenshots as proof?

My aunt lost $18k to BG Wealth.... spent two weekends tracing the USDT through 4 hop wallets into what looks like an exchange deposit address. have all the hashes in a spreadsheet.

Her credit union won't open a case without a "professional forensic report." and the detective said the same thing.

Chainalysis is 10k/year and doesnt sell to individuals and the recovery firms want 15% plus 2k upfront and look like scams themselves. And the free tools i found like Breadcrumbs/Arkham aren't accepted either.

Questions:

  1. Did anyone get a bank or cop to accept a writeup you did yourself? What did it need to look like?
  2. If you hired someone, who plus was it worth it?
  3. For people whose family is still in HQIEX, did showing them the actual wallet flow help break the spell??

Just trying to get a file opened.. annything that's worked would help lots

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u/Findep18 — 2 months ago

Anyone else dealt with the crypto valuation mess in divorce?

Helped someone close to me through this recently and didn't realize how messy the crypto piece is until we were in it. The basic question is what the BTC/ETH was worth on the wedding date, because that decides separate vs marital. On paper that's a number you can look up but in practice it's been a project.

Different exchanges have different prices at the same moment, and hardware wallets don't come with statements. And apparently screenshots get thrown out under federal evidence rules.. The lawyer's first move was suggesting a forensic accountant for $5k+, but the crypto in question wasn't worth that much more than the quote.

Two weeks of reading actual rulings later, I had a checklist of what courts accept. Pricing sources, methodology, the "this token didn't even exist on your wedding date" red flag that tanked credibility on the whole disclosure.

Curious what others here did. Hire the forensic accountant? Lawyer absorbed it? Went for a number and moved on?

If you're going through this and stuck on something specific, comment what's tripping you up and I'll send you the relevant section.

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u/Findep18 — 2 months ago

How do we figure out cost basis on crypto in a divorce?

My friend is being transferred some BTC and ETH as part of a divorce settlement. The transfer itself isn't taxable between spouses, but when she eventually sells, she apparently has to use what he originally paid, not the current value.

Issue is he's been trading since 2016 across a bunch of exchanges and a couple of them aren't around anymore. Original records for some of it are basically gone.

What do people actually do when the original cost can't be figured out? Use zero? The value at the time of transfer? Some kind of best estimate with whatever you can document?

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u/Findep18 — 2 months ago

If a screenshot of a crypto wallet isn't acceptable as evidence, what actually is?

Reading through some divorce rulings and judges keep throwing out screenshots of wallets and exchange balances. So what does the court actually accept? An exchange-issued statement? An API export? The public wallet address itself so the other side can verify on-chain?

Curious how this plays out in practice.

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u/Findep18 — 2 months ago

How do courts pin down what crypto was worth on a specific date in a divorce?

This came up in something I was reading and I got curious. If someone owned BTC and ETH before getting married, and a court needs to determine the value on the exact date of the wedding, how does that even work? Crypto trades 24/7 across dozens of exchanges with different prices at any given moment. There's no closing bell like stocks.

So what price does the court use? The Coinbase price? Some kind of daily average? And is there an accepted standard for which pricing source to use or does each side's expert just pick their own?

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u/Findep18 — 2 months ago

Valuing BTC/ETH for legal disclosure in a divorce

I had to help someone value their crypto holdings for a divorce filing and learned a few things that I hadn't seen written up anywhere and wanted to share.

The core issue is there's no official daily close for crypto like stocks have. CoinGecko and CryptoCompare are the two most commonly used aggregators, but they pull from different exchange sets and don't agree.. differences of 1-3% on historical daily prices are normal and while courts don't care about a 2% gap, you need to pick one source and apply it consistently everywhere.

Using CoinGecko for BTC and CryptoCompare for ETH in the same filing is the kind of inconsistency that gets flagged.

Same goes for price type eg. daily open, daily close (midnight UTC), etc it doesn't matter which, but you have to pick one and use it everywhere.

One thing that came up was that they had USDC listed as a 2017 holding while USDC launched in 2018. Sounds obvious but forensic accountants apparently see impossible asset dates all the time and it tanks credibility on the whole disclosure.

Anyway, hope this saves someone a headache.

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u/Findep18 — 2 months ago

If you have crypto, be careful with your marriage-date valuation

I was helping someone with their filing recently and they had USDC listed as a holding on their 2017 marriage date. USDC didn't launch until 2018... a mistake that made the judge question the entire disclosure.

A couple other things I didn't know before going through this: there's no official closing price for crypto like stocks have, so you need to pick one pricing source and use it consistently for everything. And screenshots of wallet balances are basically worthless as evidence in court.

Anyway, hope this saves someone a headache.

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u/Findep18 — 2 months ago