# Calculation Methodology

We constantly crawl pool data and price info from Chain & Dexs to calculate your assumed position and gain over time. As the math in the pool can change every second, certain assumptions are made here to standardize the computation among different pools:&#x20;

* Your investment is started at (N days)\*24 hours ago, instead of 00:00 at (T - N) days; timezone issue is eliminated&#x20;
* Crypto assets that you added to the pool will not affect the pool's original value, as you are acting as an "observer" only&#x20;
* Fees & prices in USD are based on snapshot data at hourly interval&#x20;
* Prices of incentive token are default based on hourly closing price&#x20;
* Token prices in the pool are same as market price \[Impermanent Loss calculation]

#### Formulas

*Assumed pool share = principal / total initial pool value (liquidity)*&#x20;

*Assumed staking share = assumed pool share / staked total*

*Trading fee rewards = sum of hourly trading fee rewards received in USD \* assumed pool share*&#x20;

*Yield farming rewards= dex incentive token received \* assumed staking share \* price of incentive token*&#x20;

*Equity value = total pool value \* assumed pool share*&#x20;

*Price effect = equity value - trading fee rewards - principal*

For impermanent loss, you may refer to [Impermanent Loss Explained](/others/price-effect-vs-impermanent-loss.md) for the calculation and concept behind.


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