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How is Margin Loss Δ (delta) calculated ?

TL;DR:
Margin Loss Δ (Delta) shows the capital gain or loss that occurred between the original purchase of the coin and the date of the margin loss. The margin loss itself reflects the value of the coin on the day it was lost, while the delta reflects the price change since acquisition.


What calculations are required for a margin loss?

When you have a margin loss, two calculations are necessary:

  • The actual Margin Loss

  • The Margin Loss Δ (Delta)

The Margin Loss is the value of the coin on the day the loss is charged to your account. The delta is the capital gain or loss that occurred between the original purchase date and the date of the margin loss.


How is the Margin Loss calculated?

The Margin Loss represents the value of the coin amount that was lost on the day the loss occurred.

Example:
You lose 0.001 BTC through a margin loss. On the day the margin loss is charged to your account, 0.001 BTC is worth 45 USD.

In this case, the Margin Loss is:

-45 USD


How is the Margin Loss Δ (Delta) calculated?

The Margin Loss Δ (Delta) compares the value of the lost coin at the time of purchase with its value on the day of the margin loss.

Example:
You purchased the 0.001 BTC two months earlier, when it was worth 30 USD. On the day of the margin loss, the same 0.001 BTC is worth 45 USD.

This means that, in addition to the margin loss, you generated a capital gain of 15 USD on these BTC.

The Margin Loss Δ is therefore:

+15 USD

The delta can be positive or negative, depending on whether the price rose or fell between the purchase and the margin loss.


Tax note

In terms of tax law, these deltas fall under private sale transactions. This means that personal income tax is due on the deltas if the holding period of one year is not reached.


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