Trading Basics

PnL (profit and loss) explained

Profit and Loss – Realized / Unrealized

Quick definition: PnL is the profit or loss of a position or account. Unrealized PnL is the estimated profit or loss while a position is still open; Realized PnL is the profit or loss that has been locked in.

Unrealized PnL changes constantly with the price. It only becomes realized PnL once you close the position.

Calculating real PnL means subtracting trading fees and funding. For small positions traded frequently, fees can eat up most of your profit.

On Crypffalo, the "PnL" column for whale wallets shows the unrealized PnL of open positions.

💡 Example

Long 1,000 USDT of SOL, price rises 5%: unrealized PnL +50 USDT. Close the position, minus a 1 USDT fee: realized PnL +49 USDT.

📊 Calculate PnL after fees →

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Educational content for reference only, not financial advice. Leveraged trading carries the risk of losing your entire capital.