Skip to content

Commit 8a67806

Browse files
committed
further clarification
1 parent 1a942c6 commit 8a67806

File tree

1 file changed

+13
-7
lines changed

1 file changed

+13
-7
lines changed

src/content/data-streams/concepts/best-practices.mdx

Lines changed: 13 additions & 7 deletions
Original file line numberDiff line numberDiff line change
@@ -149,6 +149,12 @@ Positions may need to be manually adjusted if the DEX doesn't support tracking t
149149

150150
#### Stock splits & reverse splits
151151

152+
<Aside type="note" title="Tokenized Stocks Guidance">
153+
Tokenized stocks such as [Backed xStock](/data-streams/reference/report-schema-v10) handle stock splits differently
154+
using activation dates and staged multipliers to maintain price continuity. [Learn more about advanced stock split
155+
handling](#stock-splits).
156+
</Aside>
157+
152158
A stock split increases the number of shares while reducing the price per share (e.g., 2-for-1 split), often making shares more accessible to investors. A reverse split does the opposite, consolidating shares to increase the price per share.
153159

154160
A 2-for-1 split would reduce the price by 50% from the previous trading session, any leveraged user could get liquidated.
@@ -196,10 +202,10 @@ Corporate actions that change the share count (splits and reverse splits) alter
196202
In the [v10 report schema](/data-streams/reference/report-schema-v10), continuity is preserved by staging a multiplier change with a scheduled `activationDateTime` so the Theoretical Price (`price` \* `currentMultiplier`) remains continuous. Split ratios are typically known in advance, but activation may occur while markets are closed, so some external price sources may not reflect the split until trading resumes.
197203

198204
<Aside type="note" title="Note">
199-
This guidance focuses on multiplier handling in the [v10 report schema](/data-streams/reference/report-schema-v10) and
200-
what integrators should expect around activation windows and protocol behavior. Similar principles may apply to future
201-
schemas that host tokenized stocks, but applicability and exact behavior will depend on each schema's design and are
202-
not guaranteed.
205+
This guidance is designed for multiplier handling in the [v10 report
206+
schema](/data-streams/reference/report-schema-v10) and what integrators should expect around activation windows and
207+
protocol behavior. Similar principles may apply to future schemas that host tokenized stocks, but applicability and
208+
exact behavior will depend on each schema's design and are not guaranteed.
203209
</Aside>
204210

205211
#### Guiding principle
@@ -253,9 +259,9 @@ The stock split has taken effect. Generally, this occurs after the market closes
253259

254260
Users should pause markets before `activationDateTime` and keep them paused until:
255261

256-
- the market has reopened (monitor `marketStatus`),
257-
- `price` has updated in line with the split ratio (e.g., 10:1), and
258-
- you have verified the Theoretical Price matches expectations.
262+
- The market has reopened (monitor `marketStatus`)
263+
- `price` has updated in line with the split ratio (e.g., 10:1)
264+
- You have confirmed that the Theoretical Price matches expectations
259265

260266
After all the above checks have been confirmed, users can unpause their protocol and continue and resume normal operation.
261267

0 commit comments

Comments
 (0)