Your cost basis is the total amount paid for an asset minus any fees. It typically comes up when discussing dollar cost averaging or calculating your taxes. For example, if you bought 1 BTC at $20k, $25, $30k and $40k, and it cost $10 per transaction, you would have dollar cost averaged into 4 BTC with a cost basis of: 20,000+25,000+30,000+40,000-40=114,960/4= $28,740
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