This page explains how to address unclassified (To classify) transactions on DeFi functions (EVM).
Table of contents:
- What are "Unclassified (To Classify)" DeFi transactions
-
How to address "Unclassified (To Classify)" DeFi transactions
2-1. How to address "To classify-Transfers"
2-2. How to address "To classify - Risky"
2-3. How to address "To classify- Unknown transactions"
2-4. How to address "To classify - Other" - How to edit "Classified" DeFi transactions
- Check "Transactions"
1. What are "Unclassified (To Classify)" DeFi transactions
The system analyzes the transactions associated with the wallet address and attempts to identify the associated smart contracts. The system then attempts to determine the background for each transaction. If it can recognize the transaction type, it updates the transaction detail and run the PNL calculation for it automatically. If the system cannot recognize their transaction types or if they are not DeFi, they will be temporarily marked as "Unclassified (To Classify)". "Unclassified (To Classify)" transactions are excluded from the PNL calculation. To include them, you will need to manually specify the transaction types.
To review "To Classify" transactions, you can go to the "DeFi" page and use the filtering function to select "To Classify" → "All."
There are 4 types of unclassified transactions:
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Transfer・・unclassified transfers are deposits/withdrawals in your wallets that are not determined automatically for their transaction types.
Examples are:
- Deposits and withdrawals from the exchange to the wallet
- ICO Participation from the wallet
- Received cryptocurrencies that are unrelated to Defi through airdrops, hard forks, etc
- Buying and selling of cryptocurrency through wallets between individuals
- Risky・・Within cryptocurrency users' wallets, risky transactions, such as airdrops intended to lure users to phishing sites, may be deposited without the investor's intent. We have introduced a feature that detects potentially risky transactions as “Risky Transactions.” (* Please note that this feature does not assess the value of tokens. It is only applicable to tokens without a market price, while tokens that do have a price should be treated as “Bonus” for profit and loss calculations. Therefore, please be aware that excluding risk transactions must be done at the own discretion.) Response to Scam tokens
- Unknown transaction type・・unknown transactions are DeFi transactions for which the system could not identify the transaction types. The system refers to the smart contracts associated with the transactions and attempts to identify their transaction types. If the system cannot determine the transaction type, the transaction is flagged as "To classify - Unknown transaction type".
-
Others・・others are irregular transactions or transactions that can't be reflected in the PNL calculation properly due to incorrect edits made in "To classify - Transfer" and "To classify - Unknown transaction type".
Examples are:
- Even though the ASSET MOVEMENTS column only shows "withdrawal" history, "Swap" ( Exchange of one cryptocurrency to another) was selected
- Even though the ASSET MOVEMENTS column only shows "deposit" history, "withdrawal" related transaction type was selected
- Even though there is no "Add Liquidity" transaction, "Remove Liquidity" was selected
*We're enhancing DeFi transaction recognition by expanding our transaction type dictionary and synchronizing wallet addresses, which might change "unclassified" transactions. If you've chosen transaction types for those, the system uses your selections for pnl calculation.
2. How to address "Unclassified (To Classify)" DeFi transactions
2-1. How to address "To classify-Transfers"
Because the system cannot automatically determine their transaction types, you need to manually select the transaction types to resolve the "Unclassified" status.
Let's start by moving to the assistant screen. *Details about the "Assistant" feature can be found this link. You can move to the Assistant from the top-right of the screen by selecting “Step of ” or “Let's troubleshoot”
Once you are on "assistant" screen, click "Classify" on "Let's handle your DeFi transactions" section.
You will automatically see only "To Classify - Transfer" transactions on "DeFi" page.
Additional Note: You can also manually select "To Classify" → "Transfer" from the filtering options, without navigating to the "Assistant" screen, to display only the "To Classify - Transfer" transactions.
For each transfer, select the reason by clicking the appropriate button (the below table gives the outlines for each option).
If you are unsure which transaction type to select, please refer to the following help page.
DeFi: PNL calculation for each transaction type
DeFi: PNL calculation for each transaction type for Canada (Canada)
After selecting the reason for the transfers, click "Sync". Your selection will be reflected in the system, and the status is updated from "To classify" to "Classified".
Additional notes: By clicking “Apply to visible rows,” you can edit all the "To classify - Transfer" displayed on the page at once.
Additional note: If you are resolving this via the Assistant, a message will appear at the top of the screen saying “Set all to Self transfers.” By selecting this option, you can mark all the "To classify-Transfer" records requiring classification as “Self transfers.”
2-2. How to address "To classify - Risky"
Let's start by moving to the assistant screen. *Details about the "Assistant" feature can be found this link. You can move to the Assistant from the top-right of the screen by selecting “Step of ” or “Let's troubleshoot”
You will automatically see only "To classify - Riky" transactions on "DeFi" page.
Additional Note: You can also manually select "To classify" → "Risky" from the filtering options, without navigating to the "Assistant" screen, to display only the "To classify - Risky" transactions.
Next, select from "Bonus, Fee only, and Other" for each transaction.
Additional notes: By clicking “Apply to visible rows,” you can edit all the "To classify - Risky" displayed on the page at once.
If you are unsure which transaction type to select, please refer to the following help page.
DeFi: PNL calculation for each transaction type
DeFi: PNL calculation for each transaction type for Canada (Canada)
Additional note: If you are resolving this via the Assistant, a message will appear at the top of the screen saying “Set all to Fee only” and "Set all to Bonus." By selecting this option, you can edit all the "To classify-Risky" records requiring classification at once.
2-3. How to address "To classify- Unknown transactions"
Since the system cannot automatically determine their transaction types, you need to manually select the transaction types to resolve the "To classify" status.
Let's start by moving to the assistant screen. *Details about the "assistant" feature can be found this link. You can move to the Assistant from the top-right of the screen by selecting “Step of ” or “Let's troubleshoot”
Once you are on "assistant" screen, click "Classify" on "Let's handle your DeFi transactions" section.
Only "To classify - Unknown transaction type" transactions will be displayed.
Additional Note: You can also manually select "To classify" → "Unknown transaction type" from the filtering options, without navigating to the "Assistant" screen, to display only the "To classify - Unknown transaction type" transactions.
For each transaction, select the transaction type from the pull-down menu (the below table gives the outlines for each option).
Also you will see the transaction types that seem most likely in the "Suggested" section. If you wish to apply, click "Accept". *Be sure to check the transaction details yourself.
There are irregular cases where the "To classify" status is not resolved even after selecting the suggested transaction type. In such cases, we kindly ask you to exclude the relevant records and upload them separately using a custom file.
You can refer to the information in the link in the DEFI TRANSACTION column and the DETAIL column to make your selection.
If you are unsure which transaction type to select, please refer to the following help page.
DeFi: PNL calculation for each transaction type
DeFi: PNL calculation for each transaction type for Canada (Canada)
After selecting the transaction types, click "Sync". Your selection will be reflected in the system, and the status is updated from "To classify" to "Classified".
Additional note: If you are resolving this via the Assistant, a message will appear at the top of the screen saying “Accept all suggestions.” By selecting this option, you can edit all the "To classify-unknown transaction type" records requiring classification at once.
2-4. How to address "To classify - Other"
Since the system cannot automatically determine their transaction types, you need to manually select the transaction types to resolve the "To classify" status.
Let's start by moving to the assistant screen. *Details about the "assistant" feature can be found this link You can move to the Assistant from the top-right of the screen by selecting “Step of ” or “Let's troubleshoot”.
Click on "Classify" on "Let's handle your DeFi transactions".
Only "To classify - Others" transactions will be displayed.
Additional Note: You can also manually select "To classify" → "Others" from the filtering options, without navigating to the "Assistant" screen, to display only the "To classify - Others" transactions.
For each transaction, select the transaction type from the pull-down menu. You can refer to the information in the link in the DEFI TRANSACTION column and the DETAIL column to make your selection.
If you are unsure which transaction type to select, please refer to the following help page.
DeFi: PNL calculation for each transaction type
DeFi: PNL calculation for each transaction type for Canada (Canada)
After selecting the transaction types, click "Sync". Your selection will be reflected in the system, and the status is updated from "To classify" to "Classified".
3．How to edit "Classified" DeFi transactions
Please take the following steps if you wish to edit DeFi transactions that are already in "Classified" status. Transactions that were automatically recognized by the system and transactions that you manually recognized (manually selected the transaction types) can both be edited using the following steps.
1. Select the DeFi transaction that you wish to edit. Click "Classified". You can filter transactions by "Auto" (they were automatically classified by the system) or "Manual" (manually selected the transaction types).
2. Click the "Edit" button.
3. Select the transaction type.
4. Click "Sync all".
5. The newly selected transaction type is reflected in the system.
4. Check "Transactions"
Once all the "To classify" transactions are resolved in the "DeFi Transactions" page, proceed to review all transaction history, including DeFi transactions, on the "Transactions" page. If you see the guidance "Some transactions are not included in your profit/loss calculations," it indicates either ongoing "To classify" or "Invalid transactions".
Transactions categorized as "To classify" on DeFi page, or "Invalid" on transaction page are not automatically included in profit and loss calculations (due to insufficient information). In cryptocurrency profit and loss calculations, they are excluded. Therefore, it's essential to resolve these categorizations.
Disclaimer
As stated in the Terms of Use, cryptact is not responsible for the calculated pnl. In addition, the information provided here is only a tentative description and does not take into account individual circumstances. If you have any questions about taxation, please contact your tax advisor.