diff --git a/src/utils/__tests__/wave8_currency_formatter.test.ts b/src/utils/__tests__/wave8_currency_formatter.test.ts
new file mode 100644
index 0000000..b73c4c1
--- /dev/null
+++ b/src/utils/__tests__/wave8_currency_formatter.test.ts
@@ -0,0 +1,19 @@
+describe('Wave 8 Rebalance: Soroban Token Balance Precision Formatter', () => {
+  const formatTokenBalance = (rawUnits: bigint, decimals: number = 7): string => {
+    const divisor = BigInt(10 ** decimals);
+    const whole = rawUnits / divisor;
+    const fraction = rawUnits % divisor;
+    const fractionStr = fraction.toString().padStart(decimals, '0').replace(/0+$/, '');
+    return fractionStr.length > 0 ? `${whole}.${fractionStr}` : `${whole}.0`;
+  };
+
+  it('should format 7-decimal Stellar Soroban token balance correctly', () => {
+    const raw = BigInt(10500000); // 1.05 tokens
+    expect(formatTokenBalance(raw, 7)).toBe('1.05');
+  });
+
+  it('should format whole number token balances with single trailing zero', () => {
+    const raw = BigInt(50000000); // 5 tokens
+    expect(formatTokenBalance(raw, 7)).toBe('5.0');
+  });
+});