This page explains how to use our DeFi (Decentralized Finance) functions. Please follow these steps to accurately reflect the transactions in your wallet to the ledger to ensure the profit and loss are calculated correctly. (The DeFi feature is available for Advanced Plan and above. For pricing plans, please click here.)
【NEWS】Started Support for OpenSea for NFT Transactions in DeFi Functionality (as of August 18, 2023)
- In cases where multiple NFTs are purchased in a single transaction, as the information regarding the prices of each NFT is not available, it will be necessary for you to manually input the missing details after integrating with the DeFi functionality. Following the integration with the DeFi feature, please use the convert function to input the prices of each NFT by yourself for the respective transaction.
- Regarding the history of NFT exchange, there are no clear rules for calculating profit and losses, so automatic support is not provided.
【Others】
- Curently Uniswap V3, PancakeSwap V3, order book based decentralized exchanges like dYdX, and NFT related transactions are not fully supported. Please select "Fee Only" as a transaction type to exclude the transaction and then add transactions by custom file manually.
- Also, as of 16th Mar 2023, we have temporarily suspended support for ERC1155 at Avalanche.
Steps to use the DeFi capabilities
1. Connect your DeFi wallets
First, please register the wallet address that you use for your DeFi. Once this is done, cryptact automatically fetches all historical transactions associated with it. For more details on how to register your wallet address, please refer to here.
Supported networks
- BNB Smart Chain
- Ethereum
- Polygon
- Avalanche
- Fantom
- Optimism
- Arbitrum
* We also plan to gradually introduce support for other networks.
2. What are "Unclassified" 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".
【Important Notes】"Unclassified" transactions are excluded from the PNL calculation. To include them, you will need to manually specify the transaction types.
*We're enhancing DeFi transaction recognition by expanding our transaction type dictionary and syncronizing wallet addresses, which might change "unclassified" transactions. If you've chosen transaction types for those, the system uses your selections for pnl calculation.
You can assess the actual level of manual intervention required before purchasing a plan, ensuring confirmation of the auto-recognition rate for DeFi transactions.
3. How to confirm "Unclassified" DeFi transactions
Click on "DeFi" and navigate to the "DeFi Transactions" page.
You can show only "Unclassified" DeFi transaction by using filtering feature.
4. How to address "Unclassified" DeFi transactions
4-1. Case1: How to address "Unclassified transfers"
[What are "Unclassified transfers"?]
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
Because the system cannot automatically determine their transaction types., you need to manually select the transaction types to resolve the "Unclassified" status.
[HOW TO]
STEP1: Navigate to "assistant".
Click on the "Step ●/●" in the upper right corner of the screen or "Let's troubleshoot" to navigate to the assistant screen. (※1) Details about the "assistant" feature can be found here.
STEP2: Click on "Classify" on "Let's handle your DeFi transactions".
▼Only "Unclassified - Transafer" transactions will be displayed.
▼Additional Note: You can also manually select "Unclassified" → "Transfer" from the filtering options, without navigating to the "assistant" screen, to display only the "Unclassfified - Trasnfer" transactions.
STEP3. Select the reason for each transfer
For each transfer, select the reason by clicking the appropriate button (the below table gives the outlines for each option).
| Option | Outline |
Impact to PNL Calculation |
| Self | A deposit from your other wallet or from the exchange |
No impact to PNL. Does not show on the ledger |
| Receive | A cryptocurrency receipt as the result of a purchase (an exchange), or a gift from an individual | Bought at market value |
| Bonus | Other than above. A cryptocurrency receipt as the result of staking reward, airdrop, or other types of rewards | Considered as a profit at market value |
| Fee Only | Reason for the deposit is unknown, or ICO reward |
Excluded from PNL calculation.
※We currently do not handle ICO reward. Please select "Fee Only" and add the ICO reward manually as custom trades. |
[Options for Withdrawals]
| Option | Outline |
Impact to PNL Calculation |
| Self | A withdrawal to your other wallet or to the exchange |
・No impact to PNL. Does not show on the ledger ・If there is a fee associated with the withdrawal, the fee portion alone is reflected as transfer fee (種別/Type:SENDFEE) |
| Pay | A cryptocurrency withdrawal as the result of a sale (asset exchange), or a gift to an individual | Sold at market value |
| Loss | A cryptocurrency withdrawal which qualify as a loss or an expense |
Considered as a loss (sold for 0 JPY) |
| Fee Only | Reason for the withdrawal is unknown, or ICO reward |
・Excluded from PNL calculation ・If there is a fee associated with the withdrawal, the fee portion alone is reflected（種別/Type:DEFIFEE）
※We currently do not handle ICO reward. Please select "Fee Only" and add the ICO reward manually as custom trades. |
STEP4. Apply selected options
After selecting the reason for the transfers, click "Sync all". Your selection will be reflected in the system, and the status is updated from "Unclassified" to "Classified".
4-2. "Case2: How to address "Unclassified - Unknown transactions"
[What are "Unknown transactions"]?
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 "Unclassified - Unknown transaction". Please manually select the transaction type to resolve the "Unclassified" status.
[HOW TO]
STEP1: Navigate to "assistant".
Click on the "Step ●/●" in the upper right corner of the screen to navigate to the assistant screen. (※1) Details about the "assistant" feature can be found here.
STEP2: Click on "Classify" on "Let's handle your DeFi transactions".
▼Only "Unclassified - Unkwon transaction type" transactions will be displayed.
▼Additional Note: You can also manually select "Unclassified" → "Unknown transaction type" from the filtering options, without navigating to the "assistant" screen, to display only the "Unclassfified - Unknown transaction type" transactions.
STEP3. Select the transaction type
For each transaction, select the transaction type from the pull-down menu (the below table gives the outlines for each option).
You can refer to the information in the link in the DEFI TRANSACTION column and the DETAIL column to make your selection.
[Available Transaction Type Options]
| Transaction Type | Outline |
Impact to PNL Calculation |
| Bonus | A deposit as the result of an airdrop or other type of reward |
・Considered as a profit at market value ・If there is a withdrawal with the same transaction hash, the withdrawal is excluded from the PNL calculation |
| Loss | A withdrawal which qualifies as a loss or an expense |
Considered as a loss (sold for 0 JPY) |
| Pay |
A payment for the purchase of services or goods |
Sold at market value |
| Fee Only |
The reason for the deposit/withdrawal is unknown and want to only include the fee portion in the PNL calculation |
・Excluded from the PNL calculation ・The fee portion alone is reflected as DEFIFEE (always as a deductable) |
| Fee Only |
・exclude the transaction because you are not sure what it is(the fee is reflected as a transfer fee) ・Transfer within your own accounts ・Bridges(tranfser coins to be used on another chain/receive back coins from another chains)
|
・The original transaction is excluded ・The fee is reflected as a transfer fee (DEFIFEE) |
| Swap/NFT trade |
Exchange of one cryptocurrency to another * To select this type, the deposit/withdrawal history must be present in the ASSET MOVEMENTS column. |
Reflected as an exchange of one cryptocurrency to another * The transaction history will show as either Buy or Sell ＊ If you purchase two NFTs at the same time in a single transaction, since the purchase price of each NFT is not listed on the chain, one NFT will be "BUY" in the transaction list, reflecting the price of two NFTs, and the other NFT will be "bonus" at 0 price. Please correct the price of each transaction by yourself to the price per NFT, and correct the "Bonus" to "Buy". |
| ICO reward |
|
※We currently do not handle ICO reward. Please select "Fee Only" and add the ICO reward manually as custom trades. |
| Harvest | Received an interest-like income from the locked coins | Considered as a profit at market value |
| Add Liquidity | Deposited a coin pair into a liquidity pool |
No impact to PNL at the time of deposit * PNL calculation method differs depending on your setting. For more details, please refer to here (currently only in Japanese). |
| Remove Liquidity | Withdrew the coin pair from the liquidity pool |
・For each coin, determine the type based on the difference in the # of coins deposited and withdrawn deposited < withdrawn ＝> considered as a profit at market value (BONUS) deposited ＞ withdrawn ＝> considered as a loss (Sold for 0 JPY) * PNL calculation method differs depending on your setting. For more details, please refer to here (currently only in Japanese). |
| Enter Staking | Deposited coins for staking |
・No impact to PNL at the time of deposit * If you have a confirmed staking reward from your previously staked coins, the reward is considered a profit (will show as STAKING) |
| Leave Staking | Withdrew coins from staking pool |
・Withdrawn - Deposited => considered a staking reward (STAKING) or a profit at market value ・If the staked coin and the reward coin differ, only consider the staking reward as a profit (STAKING) |
| Enter LP Staking | Deposited LP tokens for staking | ・No impact to PNL at the time of deposit |
| Leave LP Staking | Withdrew LP tokens from staking pool |
・Withdrawn - Deposited => needs to be recognized as a staking reward * We currently do not handle staking rewards for LP tokens. Please manually upload them as custom trades separately. |
| Enter Lending | Started lending coins |
No impact to PNL at the time of starting lending |
| Leave Lending | Received back the loaned coins |
Returned - Loaned => considered a lending interest (LENDING) or a profit at market value |
| Borrow | Borrowed coins |
・No impact to PNL at the time of borrowing ・Position in borrowed coins increases |
| Return | Return the borrowed coins |
Borrowed amount - (Book value of the coin * quantity) => considered as a loss |
| Approve | The fee (gas fee) that incurs when a transaction is approved and sent | The fee portion is considered a loss (will show as DEFFEE) |
| Wrap |
The fee portion alone is reflected in the PNL calculation * For details on how wrapped tokens are handled, please refer to here (currently only in Japanese). |
|
| Unwrap |
The fee portion alone is reflected in the PNL calculation * For details on how wrapped tokens are handled, please refer to here (currently only in Japanese). |
|
| Bridge |
※We currently do not handle bridge trades. Please select "Fee Only" and add the bridge trades manually as custom trades. |
STEP4. Apply selected options
After selecting the transaction types, click "Sync all". Your selection will be reflected in the system, and the status is updated from "Unclassified" to "Classified".
4-3. How to address "Unclassified - Other"
[What are "Unclassified - Other"?]
"Unclassified - Others" are irregular transactions or transactions that can't be reflected in the PNL calculation properly due to incorrect edits made in "Unclassified - Transfer" and "Unclassified - Unknown transaction type".
The transaction gets flagged as "Unclassified - Other", if the system was able to identify the associated smart contract but still could not identify the transaction type due to some irregularity, or if the transaction cannot be reflected in the PL calculation properly because the edits made in "Unclassified - Transfer" and "Unclassified - Unknown transaction type" don't make sense (*). Please manually update the transaction type and resolve the "Unclassified" status.
* Examples of transactions that cannot be reflected in the PNL calculation properly:
- 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
[HOW TO]
STEP1: Navigate to "assistant".
Click on the "Step ●/●" in the upper right corner of the screen to navigate to the assistant screen. (※1) Details about the "assistant" feature can be found here.
STEP2: Click on "Classify" on "Let's handle your DeFi transactions".
▼Only "Unclassified - Others" transactions will be displayed.
▼Additional Note: You can also manually select "Unclassified" → "Others" from the filtering options, without navigating to the "assistant" screen, to display only the "Unclassfified - Others" transactions.
STEP3. Select the transaction type
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.
STEP4. Apply selected options
After selecting the transaction types, click "Sync all". Your selection will be reflected in the system, and the status is updated from "Unclassified" to "Classified".
5．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.
[HOW TO]
1. Select the DeFi transaction that you wish to edit. Click "Classified". You can filter transactions based on whether they were automatically recognized by the system or manually recognized (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.
6. Check "Transactions"
Once all the "unclassified" 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 "Troubleshoot and optimize" as shown in the image below, it indicates either ongoing "DeFi unclassified" or "invalid transactions".
Transactions categorized as "Unclassified" 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.
