CoinStats Debuts Upgraded Profit and Loss Calculation

Crypto tracking platform Coinstats has unveiled an upgraded calculation method to ensure accurate profit and loss analysis for digital asset investors.

According to a blog post, the upgraded calculation method will allow crypto investors to view their total portfolio profit and loss (P/L) through various metrics.

For Coinstats’ calculation, Total Cost is the amount an investor spends on acquiring a digital asset. Unrealized P/L refers to the profit or loss incurred on assets an investor has not sold yet, while Realized P/L is the profit or loss on assets that have been sold. In addition, All P/L is the sum of Unrealized and Realized P/L.

Calculating One’s Profit and Loss on Crypto Investments

Coinstats illustrated the calculation with an example of a Solana (SOL) purchase. An investor bought 3 SOL for $100 each. He sold 1 SOL when the price surged to $200. Solana is now worth $300, and he still has 2 SOL. The Total Cost of the investor’s current holdings is $200. 

Calculating the Unrealized P/L would entail subtracting the multiple of the current coin amount and the cost of each coin from the multiple of the current coin amount and the current coin value.

Hence, Unrealized P/L = (Current coin amount x Current coin value) – (Current coin amount x Cost of each coin): (2 SOL x $300) – (2 SOL x $100) = $400

For the Realized P/L, the investor has to subtract the multiple of the sold coin amount and the cost of each coin from the multiple of the sold coin amount and the sold coin price.

Therefore, Realized P/L = (Sold coin amount x Sold coin price) – (Sold coin amount x Cost of each coin): (1 SOL x $200) – (1 SOL x $100)= $100.

All profit or loss is calculated by adding the Unrealized P/L to the Realized P/L. 

Hence, All P/L = Unrealized P/L + Realized P/L: $400 + $100= $500.

“At CoinStats, we’re committed to our mission of providing top-tier crypto portfolio management to our users…These metrics offer a comprehensive view of your portfolio’s performance, helping you make informed investment decisions,” CoinStats said.