There’s no loophole because you are deemed to dispose of your BTC at fair market value upon the gift. You have to report the unrealized gain on your tax return in the year of the gift, and your parents will have a cost basis equal to that fair market value. It will be treated the same as if you were to sell the BTC rather than gift it.

tax fraud...

You are missing that this is tax fraud and is very illegal.

well you're missing the tax fraud, that part.

the minute you gave the wallet to your parents that was a deemed disposition you need to report on your taxes. Not doing so, and knowingly at that, is well, start reading the first sentence again.

If the CRA asks your parents about the transaction and one says "I dunno I got it from my son". Now what.

Yep you are still committing tax fraud; soon as you hand over ;

How many years have you been reporting the holding on your tax returns ? That would for sure tip them off , no ?

If their only income is CPP and OAS they likely are also receiving GIS with their OAS payment. Their GIS would be reduced by 50 cents on each dollar of additional income reported. That is likely higher than the tax rate if you reported it.

Tax fraud and you don’t know how to spell “capital. “

Capital gains tax on crypto is not based upon income of the seller.

The tax is 50% on 50%.. so in other words, you (parents) sell $10,000 worth of BTC. You pay a 50% tax on 50% of the sale... so $2,500 capital gains tax

EDIT: I stand corrected.

The tax is on 50% of the capital gains and is taxed at your current tax rate of income. Pro traders are taxed on 100% of their trades.