How do you calculate a cost basis if you buy cryptocurrency?

When it comes to calculating the cost basis for cryptocurrency purchases, it's essential to have a clear understanding of the methodology. Could you elaborate on the steps involved in determining the cost basis for crypto assets? Does it simply involve adding up the total purchase price of the coins or tokens? Or does it involve factoring in additional costs like transaction fees or exchange rates at the time of purchase? Additionally, what are the tax implications of calculating the cost basis correctly? Understanding these nuances can help investors ensure accurate reporting and compliance with relevant tax regulations.