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Why do balances differ in Kryptos?

Explains why calculated and provider-reported balances can differ in Kryptos, what it means, and when no action is needed.

Updated this week

In Kryptos, you may sometimes see a difference between an asset’s calculated balance and the balance reported by the exchange or wallet.

This happens because Kryptos calculates balances from transaction history, while exchanges and wallets report snapshot balances. These two approaches answer different questions and do not always produce the same number.

A balance difference here is expected and does not mean your funds are missing.


What the two balances mean in Kryptos

Calculated Balance

This is the balance Kryptos builds by replaying all transactions it can see, including:

  • deposits and withdrawals

  • trades and swaps

  • fees

  • staking rewards and airdrops

  • transfers

Example
You deposited 1 ETH, traded 0.3 ETH, paid fees, and earned rewards. Kryptos adds and subtracts every step to calculate the final balance.

This balance is used for crypto tax calculations, accounting, and audits.


Provider Balance

This is the balance returned directly by the exchange, wallet, or blockchain provider as a snapshot at a specific moment.

Example
Your exchange shows your total ETH balance, including staked ETH and funds reserved for open orders.


Why can these balances differ

Balance differences are a common behavior in crypto tax softwares. Below are the most frequent real-world reasons.


Missing or limited transaction history

Some providers only allow APIs to return recent activity.

Example
You deposited BTC in 2019. The exchange API only returns data from 2021 onward.
The exchange balance includes BTC, but Kryptos cannot calculate it without the original transaction.


Locked, staked, or earning funds

Funds in staking, earn, or lending products are often included in the provider’s total balance but not always exposed as transactions.

Example
You have 10,000 USDC on an exchange, with 3,000 USDC locked in an Earn product.
The provider shows 10,000 USDC. Kryptos calculates 7,000 USDC.


Open orders and reserved funds

Funds placed in open orders are reserved but not yet settled.

Example
You place a limit order using 2 ETH.
The exchange reduces your available balance immediately, but no completed transaction exists yet.


Internal transfers inside exchanges

Some exchanges move funds internally without recording a visible transaction.

Example
You move assets from Spot to Funding.
The exchange balance updates, but no transaction is returned through the API.


Fees, dust, and rounding

Kryptos records balances at full precision, while provider interfaces often round numbers.

Example
A trading fee of 0.0002 BTC is shown as 0 in the exchange UI but recorded precisely in Kryptos.


Token migrations or contract upgrades

When tokens move to new smart contracts, wallets may show a single balance while the blockchain records multiple assets.

Example
A token migrates to a new contract.
The wallet shows one balance, but on-chain, this appears as a burn and a mint under different contracts.


Temporary provider or blockchain issues

Exchanges and blockchain indexers can temporarily lag or miss data.

Example
A deposit appears on-chain, but the exchange API delays reporting it for a short period.


Which balance should you use?

  • For crypto tax reporting and accounting in Kryptos
    Use the Calculated Balance

  • For trading or withdrawals on an exchange
    Use the Provider Balance


What should you do if you see a difference?

In most cases, nothing is required. If the difference looks unusually large:

  1. Check whether funds are staked or locked

  2. Confirm the correct account or wallet type is connected

  3. Refresh or re-sync the integration from the start using the options in the integration's detailed view.

  4. Review whether the older transaction history is missing, and if there are any limitations for that integration. Usually, you should see the limitations while adding the integration or in our integration guides.


FAQs

  1. Are my funds missing?
    No. A balance difference does not mean funds are lost.

  2. Is Kryptos calculating balances incorrectly?
    No. Kryptos calculates balances strictly from the transaction data it receives.

  3. Will this affect my crypto tax calculation?
    No. Crypto tax reports in Kryptos are based on calculated transaction history, not provider snapshots.

  4. Does this happen in other crypto tax softwares?
    Yes. This is an industry-wide limitation of exchange APIs and blockchain data.

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