How P&L is Calculated
Your P&L on Polyfollow is calculated using live data from Polymarket combined with our trade records.
Data Sources
| Data Point | Source |
|---|---|
| Current Prices | Live from Polymarket order book |
| Entry Price | Your actual fill price recorded at trade execution |
| Shares Owned | On-chain ERC1155 token balance |
| Trade History | Polyfollow's internal trade records |
Two Types of P&L
| Type | Description | When It's Final |
|---|---|---|
| Unrealized | Current value minus cost | Not final - changes with market |
| Realized | Actual profit/loss when closed | Final - this is real money |
The Formula
P&L = Current Value - Entry Cost
Current value updates live as market prices change.
Real Examples
| Scenario | Entry | Current/Exit | P&L |
|---|---|---|---|
| Win (Sell) | Buy 100 @ $0.60 = $60 | Sell @ $0.80 = $80 | +$20 |
| Loss (Sell) | Buy 100 @ $0.60 = $60 | Sell @ $0.40 = $40 | -$20 |
| Win (Resolution) | Buy 100 YES @ $0.60 = $60 | Resolves YES = $100 | +$40 |
| Loss (Resolution) | Buy 100 YES @ $0.60 = $60 | Resolves NO = $0 | -$60 |
Understanding Predictions
On Polymarket:
- YES at $0.60 means the market thinks there's 60% chance of YES
- If YES wins, each YES share pays $1.00
- If NO wins, each YES share pays $0.00
Profit Potential
| Entry Price | If You Win | If You Lose |
|---|---|---|
| Buy @ $0.20 | +$0.80 per share | -$0.20 per share |
| Buy @ $0.50 | +$0.50 per share | -$0.50 per share |
| Buy @ $0.80 | +$0.20 per share | -$0.80 per share |
Dashboard P&L
| Metric | Description |
|---|---|
| Total P&L | Sum of all position P&Ls |
| Realized | From closed trades (sells + resolutions) |
| Unrealized | Live market prices × your shares |
| After Fees | Total minus profit fees collected |
Known Limitations
- Dashboard totals: Your actual wallet balance on Polymarket is always the source of truth. If dashboard numbers ever look off, check your Polymarket account directly.
- Rounding: Small rounding differences (fractions of a cent) may appear between dashboard P&L and actual balances.
Real-Time Updates
Your P&L updates automatically as:
- Market prices change on Polymarket
- You buy or sell positions
- Markets resolve to final outcomes
Pro Tip
Unrealized P&L can swing wildly. A position showing +50% can turn into -50%. Only realized P&L is money in your pocket. When in doubt, your Polymarket wallet balance is the definitive source of truth.