P2P.org Makes Strategic Investment in Rakurai to Boost Solana Performance

<p>In decentralized finance, one question stands above all others: "How much money am I actually making?" While this seems straightforward, the unique mechanics of DeFi—with its staking rewards, rebasing tokens, and other activities—make traditional profit-tracking methods inadequate.</p><p>In this guide, we're breaking down Lambda DeFi's inclusive approach to Profit and Loss (<strong><em>PnL</em></strong>) calculation, providing Wallets with the tools to help their users truly understand their portfolio performance.</p><h2 id="the-foundation-what-pnl-really-means-in-defi"><strong>The Foundation: What PnL Really Means in DeFi</strong></h2><p>At its core, PnL (<em>Profit and Loss</em>) is the <strong>total measure of your portfolio performance</strong>, expressed by a simple but powerful formula:</p><p><em>PnL = Unrealized Profit + Realized Profit</em></p><p>Let's dissect these components to understand what's actually happening with your assets:</p><h3 id="unrealized-profit-explained"><strong>Unrealized Profit Explained</strong></h3><p>Unrealized profit represents value changes in assets you still hold. This includes:</p><ul><li>Market value increases of tokens in your wallet</li><li>Accumulated but unclaimed staking rewards</li><li>Growth in rebasing tokens like stETH (where your token balance automatically increases)</li><li>Any accrued yield that hasn't been harvested</li></ul><p>The key characteristic: these profits <strong>exist "on paper" but haven't been captured in your wallet</strong> as separate assets yet.</p><h3 id="realized-profit-explained"><strong>Realized Profit Explained</strong></h3><p>Realized profit comes from completed transactions where you've locked in your gains or losses:</p><ul><li>Profits from selling tokens at a higher price than purchase</li><li>Claimed staking rewards that now sit in your wallet</li><li>Yield farming returns you've harvested</li><li>Any asset you've unwrapped, swapped, or converted to another form</li></ul><p>Both unrealized and realized profits can be negative when asset values decrease or when you sell at a loss.</p><h2 id="a-real-world-example-the-eth-investment-scenario"><strong>A Real-World Example: The ETH Investment Scenario</strong></h2><p>To make this concrete, let's examine a simple scenario:</p><p>A user purchases 1 ETH for $2,000. Later, the market price reaches $2,500.</p><p><strong>Scenario 1: A user HOLDS the ETH</strong></p><ul><li>Unrealized profit: $500 (the price appreciation a user could capture if he sold)</li><li>Realized profit: $0 (the user hasn't executed any action to lock in gains)</li><li>Total PnL: $500 (entirely on paper)</li></ul><p><strong>Scenario 2: A User SELLS the ETH</strong></p><ul><li>Unrealized profit: $0 (the user no longer holds the asset)</li><li>Realized profit: $500 (the user has locked in the gain by selling)</li><li>Total PnL: $500 (entirely captured)</li></ul><p>This illustrates how the same total PnL can have completely different implications for a user's portfolio liquidity and risk exposure.</p><h2 id="two-perspectives-base-vs-quote-currency-profit"><strong>Two Perspectives: Base vs. Quote Currency Profit</strong></h2><p>Lambda's approach provides two crucial perspectives on a user's portfolio:</p><h3 id="base-currency-profit"><strong>Base Currency Profit</strong></h3><p>This measures changes in the quantity of the actual crypto assets, answering the question: "How many more tokens do I have?"</p><p>For example:</p><ul><li>A user stakes 10 DOT and after 30 days has 10.5 DOT</li><li>The base currency profit is 0.5 DOT (5% growth in the asset quantity)</li></ul><p>This metric is particularly valuable in inflationary environments or when the user is focused on accumulating a specific asset.</p><h3 id="quote-currency-profit"><strong>Quote Currency Profit</strong></h3><p>This measures the monetary value of a user's holdings in the reference currency (often USD), answering: "How much more is my portfolio worth?"</p><p>For example:</p><ul><li>You stake 10 DOT worth $100 ($10 each)</li><li>After 30 days, you have 10.5 DOT, but DOT's price dropped to $9</li><li>Your quote currency value is now $94.50</li><li>Your quote currency PnL is -$5.50, despite having more DOT</li></ul><p>This perspective helps users to understand their actual financial position, accounting for both quantity and market price changes.</p><h2 id="the-algorithm-how-lambda-actually-calculates-user-pnl"><strong>The Algorithm: How Lambda Actually Calculates User PnL</strong></h2><p>Lambda's calculation methodology is specifically designed to <strong>capture the nuances</strong> of DeFi portfolio performance:</p><h3 id="1-interval-based-approach"><strong>1. Interval-Based Approach</strong></h3><p>Rather than looking at a portfolio in a single continuous period, we break it down into meaningful intervals:</p><ul><li><strong>User Action Intervals</strong>: Created whenever a user performs actions that change their portfolio structure:<ul><li>Buying or selling assets</li><li>Staking or unstaking</li><li>Adding liquidity or withdrawing</li><li>Claiming rewards</li><li>Receiving transfers from others</li></ul></li><li><strong>Regular Time Intervals</strong>: For longer periods, we also add standard time divisions (weekly for 1-month reports, monthly for 1-year reports) to capture market movements between user actions</li></ul><p>This approach ensures we catch both active decisions and passive market effects.</p><h3 id="2-comprehensive-data-collection"><strong>2. Comprehensive Data Collection</strong></h3><p>For each interval, we record:</p><ul><li>Starting and ending token balances</li><li>Starting and ending token prices</li><li>Any external influences (network rewards, rebases, etc.)</li></ul><h3 id="3-precise-pnl-calculation-formula"><strong>3. Precise PnL Calculation Formula</strong></h3><p>For each interval, we calculate:</p><p><em>Interval PnL = (End Price × End Balance) - (Start Price × Start Balance)</em></p><p>This captures both price effects and quantity changes in a single metric.</p><h3 id="4-results-aggregation"><strong>4. Results Aggregation</strong></h3><p>We then aggregate all interval results to produce:</p><ul><li>Overall period PnL</li><li>Time-segmented PnL (monthly, quarterly, etc.)</li><li>Performance visualizations</li></ul><h2 id="the-sttoken-example-seeing-lambdas-pnl-calculation-in-action"><strong>The stToken Example: Seeing Lambda's PnL Calculation in Action</strong></h2><p>Let's walk through a detailed example with a staking token that automatically increases in balance over time:</p><p><strong>Timeline:</strong></p><ul><li><strong>January 3, 2023</strong>: Initial purchase of 1 stToken at $200</li><li><strong>February 5, 2024</strong>: Received 1.5 additional stTokens from a friend</li><li><strong>December 10, 2024</strong>: Unwrapped 0.5 stToken</li><li><strong>December 31, 2024</strong>: PnL report requested</li></ul><h3 id="step-1-dividing-into-intervals"><strong>Step 1: Dividing into Intervals</strong></h3><p>Lambda divides this into multiple intervals:</p><ul><li>12 monthly points (Jan 2023 through Dec 2024)</li><li>4 additional points for user activities (purchase, top-up, withdrawal, current time)</li></ul><p>This creates intervals like:</p><ul><li>Jan 3 - Feb 1, 2023</li><li>Feb 1 - Feb 5, 2023</li><li>Feb 5 - Mar 1, 2023</li><li>...and so on</li></ul><h3 id="step-2-tracking-data-points"><strong>Step 2: Tracking Data Points</strong></h3><p>For each interval, we record:</p><ul><li>Beginning and ending token balances</li><li>Beginning and ending token prices</li></ul><h3 id="step-3-calculating-interval-pnl"><strong>Step 3: Calculating Interval PnL</strong></h3><p>For each period, the calculation works like this:</p> <!--kg-card-begin: html--> <table style="border:none;border-collapse:collapse;"><colgroup><col width="121"><col width="150"><col width="136"><col width="169"><col width="70"></colgroup><tbody><tr style="height:34pt"><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;text-align: center;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:700;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">Interval</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;text-align: center;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:700;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">Token Balance Change</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;text-align: center;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:700;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">Token Price Change</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;text-align: center;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:700;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">Calculation</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;text-align: center;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:700;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">PnL ($)</span></p></td></tr><tr style="height:34pt"><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">Jan 3 - Feb 1</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">1.0 → 1.1</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">$200 → $180</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">(180×1.1) - (200×1.0)</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">-$2.00</span></p></td></tr><tr style="height:34pt"><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">Feb 1 - Feb 5</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">1.1 → 1.12</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">$180 → $185</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">(185×1.12) - (180×1.1)</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">+$9.20</span></p></td></tr><tr style="height:34pt"><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">Feb 5 - Mar 1</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">2.62 → 2.7</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">$185 → $175</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">(175×2.7) - (185×2.62)</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">-$12.00</span></p></td></tr><tr style="height:34pt"><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">Mar 1 - Apr 1</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">2.7 → 2.8</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">$175 → $175</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">(175×2.di8) - (175×2.7)</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">+$17.50</span></p></td></tr><tr style="height:22.75pt"><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">...</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">...</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">...</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">...</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">...</span></p></td></tr><tr style="height:34pt"><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">Dec 1 - Dec 10</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">3.1 → 3.3</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">$175 → $175</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">(175×3.3) - (175×3.1)</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">+$35.00</span></p></td></tr><tr style="height:34pt"><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">Dec 10 - Dec 31</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">2.8 → 2.88</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">$175 → $180</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">(180×2.88) - (175×2.8)</span></p></td><td style="vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;"><p dir="ltr" style="line-height:1.38;margin-top:12pt;margin-bottom:12pt;"><span style="font-size:10pt;font-family:'IBM Plex Sans',sans-serif;color:#003057;background-color:transparent;font-weight:400;font-style:normal;font-variant:normal;text-decoration:none;vertical-align:baseline;white-space:pre;white-space:pre-wrap;">+$28.40</span></p></td></tr></tbody></table> <!--kg-card-end: html--> <h3 id="step-4-aggregating-results"><strong>Step 4: Aggregating Results</strong></h3><p><strong>Adding all interval PnL values gives your total one-year PnL: $76.10</strong></p><p>This detailed breakdown shows exactly how a user's position evolved through price changes, balance growth, additional deposits, and partial withdrawals.</p><p></p><div class="kg-card kg-button-card kg-align-center"><a href="https://lambda.p2p.org/?ref=p2p.org#contact_us" class="kg-btn kg-btn-accent">Get Started Here</a></div><p></p><h2 id="understanding-specific-defi-scenarios"><strong>Understanding Specific DeFi Scenarios</strong></h2><p>Lambda's PnL calculation handles various DeFi-specific situations:</p><h3 id="rebasing-tokens-like-steth"><strong>Rebasing Tokens (like stETH)</strong></h3><p>With tokens that automatically increase in quantity:</p><ul><li>Balance growth is captured within intervals</li><li>This growth is counted as profit, even without explicit claiming</li></ul><h3 id="yield-farming"><strong>Yield Farming</strong></h3><p>For yield farming positions:</p><ul><li>Unclaimed rewards are tracked as unrealized profit</li><li>Claimed rewards become realized profit</li><li>Compounding effects are captured through balance increases</li></ul><h3 id="liquidity-provision"><strong>Liquidity Provision</strong></h3><p>For LP positions:</p><ul><li>Impermanent loss is factored into the price component</li><li>Earned fees are captured as balance increases</li><li>Token ratio shifts are handled through the balance measurement</li></ul><h2 id="how-lambdas-pnl-offers-unique-revenue-opportunities-for-wallets"><strong>How Lambda's PnL Offers Unique Revenue Opportunities for Wallets</strong></h2><p>Understanding true DeFi performance goes beyond simple curiosity—<strong>it directly translates to strategic business advantages for wallet applications.</strong></p><p>Within the user base, DeFi users represent the most valuable cohort, driving the majority of profitable transactions. Lambda's PnL solution helps retain these high-value users through a <strong>genuine market differentiator</strong>—no wallet in the ecosystem currently offers true DeFi return tracking or distinguishes rewards from regular transfers.</p><p>This retention advantage works on two crucial levels:</p><ol><li><strong>Experienced DeFi users stay engaged</strong> when they can finally track their actual portfolio performance, keeping your most profitable customers within your ecosystem.</li><li><strong>New users gain the confidence to explore DeFi</strong> when presented with familiar performance metrics that mirror traditional Web2 investment platforms, accelerating their journey toward becoming power users.</li></ol><p>By implementing Lambda's PnL tracking, wallet providers create a compelling reason for users to stay within their ecosystem rather than switching between applications or abandoning DeFi altogether when faced with performance uncertainty.</p><h2 id="start-tracking-your-true-defi-performance-today"><strong>Start Tracking Your True DeFi Performance Today</strong></h2><p>To start tracking your true DeFi performance, you can request access to query the PnL data with Lambda.</p><p></p><div class="kg-card kg-button-card kg-align-center"><a href="https://lambda.p2p.org/?ref=p2p.org#contact_us" class="kg-btn kg-btn-accent">Request Your API Key Here</a></div><p></p><p>Lambda's sophisticated yet intuitive PnL calculation gives you the data-backed insights needed to increase your revenue.</p><p>No more spreadsheets, manual calculations, or incomplete metrics—just clear, accurate performance tracking that captures all the nuances of your DeFi portfolio.</p><h2 id="corner-cases-and-faq"><strong>Corner Cases and FAQ</strong></h2><p><strong>Q: Can I evaluate PnL for positions I've already closed?</strong></p><p><strong>A:</strong> Yes. Lambda analyzes historical data on asset acquisition and disposal prices, allowing for retroactive PnL calculation even for positions that no longer exist in your portfolio.</p><p><strong>Q: How does Lambda account for swaps and bridging in PnL calculations?</strong></p><p><strong>A:</strong> Swaps and bridging are treated as events that trigger the closing of one position and opening of another. For example, swapping ETH to USDT closes your ETH position and opens a USDT position, with each having its own PnL tracking.</p><p>For immediate losses or gains during swaps (like slippage costs), Lambda will introduce a transaction-level PnL feature in Q2 that captures these effects separately from position-level PnL.</p><p><strong>Q: How does Lambda handle external transfers?</strong></p><p><strong>A:</strong> Third-party transfers (like receiving tokens from a friend) are treated similarly to manual top-ups—they create a new interval but don't reset your entire position history.</p><p><strong>Q: How does the system handle price volatility in both base and quote currencies?</strong></p><p><strong>A:</strong></p><ul><li>USD as a base currency is stable (always = $1)</li><li>For crypto assets, we use historical price feeds that capture all volatility</li><li>Calculations are performed at interval boundaries to capture significant price movements</li></ul><p><strong>Q: How does Lambda handle withdrawals and top-ups?</strong></p><p><strong>A:</strong></p><ul><li>Full withdrawals mark the end of a position</li><li>Partial withdrawals create a new interval but maintain position continuity</li><li>Top-ups (additions to existing positions) create new intervals with the combined balance going forward</li></ul><p>Want to experience the power of Lambda's PnL tracking for yourself?<a href="https://p2p.org/contact?ref=p2p.org"> </a><a href="https://lambda.p2p.org/?ref=p2p.org#contact_us"><u>Contact our team</u></a> today to learn how our staking solutions can optimize your crypto portfolio while providing unparalleled transparency into your portfolio performance.</p><p><strong>Website</strong>: <a href="https://lambda.p2p.org/?ref=p2p.org">https://lambda.p2p.org/</a></p><hr><p><em>The information provided above is for informational purposes only and should not be construed as, or relied upon as, investment, financial, or any other type of professional advice. P2P.org or any associated parties do not offer any form of advisory services, and nothing shared here should be considered as a recommendation or endorsement for any financial decisions. P2P.org are not responsible for any decisions made based on the information provided. You are encouraged to consult with a qualified financial advisor or professional before making any investment or financial decisions.</em></p>

<p>If you're one of the early adopters who deposited assets into Symbiotic's pre-deposit vaults, it's time to consider making a move. These pre-deposit vaults served an important purpose during Symbiotic's initial launch phase, but they were never intended to be the permanent home for your assets. In this guide, we'll walk you through why you should migrate and provide a simple step-by-step process to do so.</p><h2 id="what-is-symbiotic"><strong>What Is Symbiotic?</strong></h2><p>Before jumping into migration details, let's look at what Symbiotic actually does and why it's different from traditional staking.</p><p>Think of Symbiotic as a marketplace where economic security is bought and sold. It creates a win-win situation:</p><ul><li>Networks that need security can purchase it.</li><li>Asset holders (like you) can earn points by providing that security.</li></ul><p>What makes this special is that your staked assets can secure multiple networks simultaneously. This means more efficient use of your capital and potentially better network rewards for you.</p><p>Symbiotic works through three main participants:</p><ul><li><strong>Stakers (you)</strong> - You provide assets through vault deposits and earn network rewards</li><li><strong>Networks</strong> - These are blockchain projects that pay for security to operate safely</li><li><strong>Operators</strong> - Companies like P2P.org that run the actual infrastructure and do the technical work</li></ul><p>To keep everything honest, independent "<em>Resolvers</em>" monitor the system and protect against unfair penalties. They're like the referees making sure the rules are followed.</p><h2 id="why-you-should-migrate-from-pre-deposit-vaults"><strong>Why You Should Migrate From Pre-Deposit Vaults</strong></h2><p>Pre-deposit vaults were created as temporary holding solutions before Symbiotic's full functionality launched. Think of them as the waiting room before the main event. While your assets are safe in these vaults, they aren't working as efficiently as they could be.</p><h2 id="key-limitations-of-pre-deposit-vaults"><strong>Key limitations of pre-deposit vaults:</strong></h2><ul><li><strong>Lower point accrual rates</strong> compared to live vaults</li><li><strong>Limited operator selection</strong></li><li>No active participation in the network ecosystem</li><li>Reduced network reward potential</li></ul><h2 id="benefits-of-migrating-to-live-vaults"><strong>Benefits of Migrating to Live Vaults</strong></h2><p>Live vaults represent a significant upgrade for your assets. Here's why moving makes sense:</p><ol><li><strong>Enhanced Point Accrual</strong><br>Pre-deposit vaults generate fewer Symbiotic points compared to live vaults. Points are crucial for potential future ecosystem benefits.</li><li><strong>Active Ecosystem Participation</strong><br>Live vaults are fully integrated into the Symbiotic ecosystem, allowing your assets to participate in securing networks and generating value.</li><li><strong>Operator Quality</strong><br>Live vaults are managed by reputable operators (including P2P.org) with proven track records in the staking ecosystem. This means your assets are being leveraged by experienced infrastructure providers who maintain high uptime, implement robust security practices, and optimize for performance.</li><li><strong>Future-Proofing</strong><br>As Symbiotic continues to evolve, live vaults will be first in line for new features, integrations, and opportunities.</li><li><strong>Enhanced Capital Efficiency</strong><br>Live vaults implement advanced strategies to improve your capital efficiency. By optimizing how your assets are deployed across different networks within the Symbiotic ecosystem, they aim to deliver improved performance while maintaining appropriate risk parameters.</li><li><strong>Network Diversification</strong><br>By moving to live vaults, your assets gain exposure to a wider range of networks within the Symbiotic ecosystem. This diversification helps spread risk while potentially increasing rewards through multiple revenue streams.</li></ol><h1 id="step-by-step-migration-guide"><strong>Step-by-Step Migration Guide</strong></h1><p>Migrating your assets is a straightforward process that takes just a few minutes. Follow these steps:</p><h3 id="step-1-navigate-to-symbioticfi-and-click-restake"><strong>Step 1: Navigate to symbiotic.fi and click 'Restake'</strong></h3><p>Begin by visiting the official <a href="http://www.symbiotic.fi/?ref=p2p.org"><u>Symbiotic website</u></a> and clicking on the 'Restake' button.</p><h3 id="step-2-select-the-deposit-tab-in-the-top-left-corner"><strong>Step 2: Select the 'Deposit' tab in the top left corner</strong></h3><p>Once you're in the restaking section, find and click on the 'Deposit' tab located in the top left corner of the interface.</p><figure class="kg-card kg-image-card"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXco_iEfa4fefvBQPON4yK9C0SMADG6fr981QG9xMvPWD5Ou4IEip58xICXORGU8fHCfw1-arldmu5DYKWs50KG1M9nas5tjDtW4zT52UzAw4751S9vBp2rK7PtWdPTycfuXv4oIkw?key=2rfROIz05zdLYp5UpBTfosTR" class="kg-image" alt loading="lazy" width="1600" height="883"></figure><h3 id="step-3-select-the-pre-deposit-vault-that-contains-your-funds"><strong>Step 3: Select the pre-deposit vault that contains your funds</strong></h3><p>Find and select the pre-deposit vault where your funds are currently sitting. For this guide, we're using the wBTC pre-deposit vault as an example, but the process is similar for other asset types.</p><figure class="kg-card kg-image-card"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXdo3jVHfx-7Kc1EO1lDZmED4sds7UYrvLVIkvkVEiSumXX7TarW6UsQAwAFLurv2A8uYgCmZg00cMTLx1Ht4e0J5JaegKU2ZPoKeVqIWh0frLkX8nTbT3PjTJ7WYQv4TOg_1hw_FA?key=2rfROIz05zdLYp5UpBTfosTR" class="kg-image" alt loading="lazy" width="1600" height="873"></figure><h3 id="step-4-select-migrate-to-initiate-the-migration"><strong>Step 4: Select 'Migrate' to initiate the migration</strong></h3><p>Click the 'Migrate' button to begin the process of moving your funds from the pre-deposit vault to a live vault.</p><p><strong>Note:</strong> As you'll see in the interface, pre-deposit vaults earn fewer points than live vaults, making migration a priority for maximizing your benefits!</p><figure class="kg-card kg-image-card"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXfDcWgUeCqb_4nHjF34tXwj3mfhr0rAY1Vnj44uLb0usNFZAKSVIazpVtnTv7-8YNB3iEGE4IE9arOz-vHEICmmE9IjscMDkqylUDcagcW8bVNmxuHL4dHCJEVeEdc4Pty-qTC4SA?key=2rfROIz05zdLYp5UpBTfosTR" class="kg-image" alt loading="lazy" width="1600" height="873"></figure><h3 id="step-5-review-available-live-vaults"><strong>Step 5: Review available live vaults</strong></h3><p>After selecting 'Migrate', Symbiotic's UI will display all the public/live vaults available for your specific asset. In our example, it will show the public wBTC vaults available for migration.</p><figure class="kg-card kg-image-card"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXdlcHe0eIQ3q_ZeoAkTO77Pdk532_i_Ipx7OAjrpn6d1gd9i8calfh7Of5Hg2ckrRHdj7i3HmMvOnm1d6awD2hcg5z4mGb9DJ7K289gnQY_sel7XPeSeJckX2Yqo6TNOQCjrLt_?key=2rfROIz05zdLYp5UpBTfosTR" class="kg-image" alt loading="lazy" width="1600" height="867"></figure><h3 id="step-6-select-your-preferred-vault"><strong>Step 6: Select your preferred vault</strong></h3><p>Choose the vault that best aligns with your preferences. If you're unsure, <strong>consider vaults with reputable operators like P2P.org for optimal performance.</strong></p><figure class="kg-card kg-image-card"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXcR5mvazNyzCwDlOuqXFeImJOXzZj49a3Smxw6JuE068L3MYRcIlXSPS-_Soq0qGwEx2HX6Z6bq2IF9mVtM26nRAp90sFtMK5HDlZCAxW9kvArr4JMNdeodjjfXfv_vdrk_VG1Y?key=2rfROIz05zdLYp5UpBTfosTR" class="kg-image" alt loading="lazy" width="1600" height="648"></figure><h3 id="step-7-connect-your-wallet"><strong>Step 7: Connect your wallet</strong></h3><p>If you haven't connected your wallet already, you'll be prompted to do so at this stage.</p><figure class="kg-card kg-image-card"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXd3X5RBuOk6AsiaFLWeDcAYWQZG-iIcM0ysb5JUHyXG54_DLJPiQvLdYyUx43hKXMYuXOmxu2KbcBKNxUK8eCdlZUG8yoXkj6ihano-Ilxsl5PLoDEOVYmC24OQH5cSDWlOQTKE?key=2rfROIz05zdLYp5UpBTfosTR" class="kg-image" alt loading="lazy" width="1600" height="882"></figure><h3 id="step-8-select-the-migrate-option"><strong>Step 8: Select the 'Migrate' option</strong></h3><p>On the vault page, look for the 'Migrate' option (typically found alongside 'Deposit' and 'Withdraw' options) and select it.</p><figure class="kg-card kg-image-card"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXfvnFTO1bTleJf5H0XPPYunzxwNSoTZ9tv6rPoxl9R604s008WVs5-_v38K42QtZ-WjzHt-D0BlF2_SzeFWOMM4CaQ6hoEA-HI7kNwxkbKSsaWvZWNDJHaEEUgJn7Ck5UrWEbrBSg?key=2rfROIz05zdLYp5UpBTfosTR" class="kg-image" alt loading="lazy" width="1600" height="869"></figure><h3 id="step-9-enter-migration-amount-and-confirm"><strong>Step 9: Enter migration amount and confirm</strong></h3><p>Input the amount you want to migrate, then click the green 'Migrate' button to initialize the transaction.</p><figure class="kg-card kg-image-card"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXcVu1y6xYeAJ1vnzkvTVJZ9PZwXo0YzsWjN1FZba0ucfQ1jrhVf0LDW32G2lVVj3pE9KRm9Va1xdSGFZYvKsBw2Px-zEmJkpFGKmcfg4ChUzZ8BukTslJipJc5cLSAoEl_TE_Gr?key=2rfROIz05zdLYp5UpBTfosTR" class="kg-image" alt loading="lazy" width="1600" height="880"></figure><h3 id="step-10-approve-and-finalize-the-transaction"><strong>Step 10: Approve and finalize the transaction</strong></h3><p>Grant the necessary permissions in your wallet when prompted, and confirm the transaction to complete the migration process.</p><figure class="kg-card kg-image-card"><img src="https://lh7-rt.googleusercontent.com/docsz/AD_4nXfHvlt_zOUlMBxXu5RzhFzCC99HpraHtvztAowYAMcEglL4kGe6Gyft37JUzydZzlj0bLykBc1Q3mWl7CF-jPsagWBm4vbunf--xAdasPZiFqCqyonPjnxXNCU9405h95hXkPnyyQ?key=2rfROIz05zdLYp5UpBTfosTR" class="kg-image" alt loading="lazy" width="1600" height="877"></figure><p>Congratulations! Your assets are now working more efficiently in a live vault.</p><h2 id="frequently-asked-questions"><strong>Frequently Asked Questions</strong></h2><p><strong>Q: Will I lose my accrued points when migrating?</strong> A: No, all points you've earned will remain associated with your wallet address.</p><p><strong>Q: Are there fees for migration?</strong> A: You'll only pay standard network gas fees for the transaction.</p><p><strong>Q: Can I migrate partial amounts?</strong> A: Yes, you can choose exactly how much you want to migrate.</p><p><strong>Q: Is there a deadline for migration?</strong> A: While there's no hard deadline, migrating sooner means you'll start earning enhanced benefits faster.</p><p><strong>Q: How does Symbiotic's architecture ensure security?</strong> A: Symbiotic utilizes a resolver system that monitors and validates activities across all connections. Resolvers have veto power over invalid slashing attempts, providing an additional layer of protection for your staked assets.</p><h2 id="third-party-incentives"><strong>Third-Party Incentives</strong></h2><p>For additional details, visit Symbiotic.fi. Please note that P2P.org does not manage or take responsibility for these incentive programs.</p><h2 id="risks-assessment"><strong>Risks assessment&nbsp;</strong></h2><p>This information is provided for general purposes only and reflects P2P.org’s subjective view of the project. It is not professional financial advice. Before deciding to participate, you should carefully review all materials on the Mellow and Symbiotic websites, thoroughly evaluate the associated risks, and consult with appropriate legal, financial, and tax advisors. Failure to do so may result in significant financial losses, P2P.org will not be held liable for any decisions made based on the information provided. Proceed at your own risk.</p><p><strong>Audited Smart Contracts:</strong> Symbiotic and Mellow smart contracts have been audited. The reports are available here and here.</p><p><strong>Immutable Symbiotic Contracts:</strong> Symbiotic smart contracts cannot be changed by the Vault curator.</p><p><em>P2P.org is a leading node operator and early supporter of Symbiotic. While we believe migration to live vaults is beneficial for users, this article is provided for educational purposes only and should not be considered financial advice.</em></p>