Credit Debit

The credit-debit model provides a double-entry accounting system for tracking asset movements on the blockchain. This model is particularly useful for analyzing token flows, calculating balances, and understanding asset distribution patterns.

Overview

Credit Debit vs Transfers Credit-debit tables transform single transfer events into two corresponding entries:

• A debit (negative) entry for the sending address

• A credit (positive) entry for the receiving address

Example Using an ERC20 token as an example, a token transfer will be represented as follows:

from_address	to_address	amount	event
X	Y	1250	X transfers 1250 tokens to Y

In credit debit, it will be represented two rows.

address	counterparty_address	amount	event
X	Y	-1250	X decrease 1250 tokens to Y
Y	X	1250	Y increase 1250 tokens from X

Advantages Over Transfer Tables

1. Balance Calculation

   • Easy summation of all credits and debits for an address

   • Simplified queries for net position calculations

   • Natural handling of complex transactions

2. Flow Analysis

   • Clear visualization of token inflows and outflows

   • Simple aggregation of total volume by address

   • Easy identification of major senders/receivers

3. Data Consistency

   • Built-in verification through balanced entries

   • Self-auditing through equal total credits and debits

   • Simplified reconciliation process