Filecoin ecosystem gets financial infrastructure for accounting & audit
Vesting rewards, Miner & burn fees, Auto-labelled and transformed into GAAP & IFRS grade reports
Cryptio’s proprietary integration with the Filecoin network allows SPs to import all on-chain activity from Filecoin and complete accounting, reporting, tax, and audit preparation to the high standard required by auditors and regulators. We look forward to bringing accountability and auditability to the Filecoin Ecosystem through our partnership with Protocol Labs.
More than 4000 storage providers (SPs) on the Filecoin network can now use Cryptio’s back-office suite to automate their accounting and reporting.
Accounting challenges for decentralized storage providers
Building an accounting and reporting suite specifically for Filecoin storage providers has its own challenges. These issues include:
- Transaction level reporting on the Filecoin network.
- Tracking on-chain messages needed for financial reporting such as Rewards, Miner fees, Burn fees, PreCommitSector, SubmitWindowedPoST, and the transactions associated with each.
- Tracking and accounting for locked vs. available mined rewards, keeping track of vesting schedules.
- Auto labeling and reporting on these different transaction types.
- Computing the cost-basis for all mining activity.
- Generating income statements, cash flow statements, and other financial reports.
- Running impairment computations on holdings.
Currently, miners are using the block height queries to track balances and they are doing the reporting on a ‘one-entry for the month’ basis. However, this is not compliant with GAAP or IFRS standards, nor does it meet the audit standards for the industry.
A purpose-built accounting and reporting solution for storage providers
Storage providers need a purpose-built back-office solution. In collaboration with Protocol Labs, Cryptio can offer Filecoin storage providers a platform where they can complete their accounting and reporting that meets the standards of auditors and regulatory authorities.
Our platform allows Filecoin storage providers to:
- Pull auditable and complete transaction history for all their wallets on the Filecoin network – database and connector built in collaboration with Protocol Labs
- Automatically label transactions, including miner fees, burn fees, overestimation fees, and rewards.
- Track available vs. locked balances historically
- Report on mining rewards, track vesting rewards and compute deferred rewards for accounting and tax purposes.
- Differentiate between slashed rewards and ordinary burn.
- Ensure accounts are complete, accurate, and fairly valued using our balance discrepancy checks.
“This is a landmark moment for the Filecoin ecosystem – we’re excited to announce this strong relationship with Cryptio. Their accounting and reporting suite brings much-needed reporting automation and auditability for enterprise storage providers. We see this as a milestone that both reduces the barrier to entry for new Filecoin storage providers and increases the ease of doing business for existing storage providers”
Phil Karl, Corporate controller at Protocol Labs
"W3BCloud is committed to the highest level of financial integrity and auditability. Cryptio's work with Protocol Labs has enabled enterprise storage providers like ourselves to complete our Filecoin-related financial reporting with confidence."
Marzena Golinska, Finance Manager, W3BCloud
“Our partnership with Protocol Labs means the ecosystem can now do its finances with certainty. Over 4000 storage providers now have access to a purpose-built accounting and reporting solution with auditable data. ”
Antoine Scalia, Founder and CEO at Cryptio