Do crypto-to-crypto swaps and NFT trades trigger CGT in Australia?

Yes. The ATO's position is clear: every crypto-to-crypto swap is a CGT event. When you exchange Bitcoin for Ethereum, or swap any token for another, you are treated as disposing of the first asset at its current market value. If that value is higher than your cost base, you have a capital gain.

How the calculation works for a swap: Suppose you bought 1 ETH for A$2,000 and later swapped it for 10,000 USDC when ETH was worth A$4,000. You have a capital gain of A$2,000 on the disposal of the ETH. Your cost base in the USDC is A$4,000 (the market value at the time of the swap). The same logic applies to DeFi token swaps via automated market makers (AMMs) like Uniswap or equivalent protocols.

NFTs: NFTs are also CGT assets. Buying an NFT with cryptocurrency triggers a CGT event on the crypto used to purchase it (disposal of the crypto). Selling an NFT is itself a CGT event on the NFT. If you create and sell NFTs as part of a business, the proceeds may instead be treated as ordinary business income rather than a capital gain.

Personal use asset exemption: If you buy crypto or an NFT for personal use or enjoyment (not investment) and it cost less than A$10,000, it may qualify as a personal use asset and be exempt from CGT. However, the ATO takes a narrow view — most crypto holdings are considered investments, not personal use assets.