Custom parsers

Book any protocol the way your accounting policy requires.

A parser recognizes a protocol’s onchain activity as specific economic actions and assets, not just raw token movements. That distinction is what separates a correct book from a merely plausible one.

It matters most for disposals. A deposit into, or withdrawal from, a protocol can be booked as a transfer of the same asset, with cost basis carried through, not as a taxable sale. Or it can be considered a swap of a basic token against a vault token. Which interpretation applies for a particular transaction depends on both the technicals and economics of the protocol, as well as the tax considerations of your fund.

PennyWorks ships parsers for a wide range of protocols and builds new ones quickly, so a new chain or protocol is typically supported in days. For a bespoke or unsupported protocol, a custom parser is built so its activity is booked correctly, and consistently thereafter. The long tail of protocols is exactly where other tools break.

Why it matters. How a protocol’s activity should be booked is an accounting decision, not a mechanical one. Recognizing the real action behind a token movement is what keeps phantom gains out of your tax lots and the hard few percent booked correctly.