Guys, you need to understand this key concept: the difference between APR and APY!
For the same APR, the more often interest is compounded, the higher the APY—but the increase gets smaller and smaller, with an upper limit.
For the same pool, the advertised APY is generally higher than the APR. When comparing different products, first convert them to the same basis.
$CAKE is PancakeSwap's native token. DeFi applications like this often display annualized returns. Currently 1.931.
Save this and take your time reading it 👇
For the same APR, the more often interest is compounded, the higher the APY—but the increase gets smaller and smaller, with an upper limit.
For the same pool, the advertised APY is generally higher than the APR. When comparing different products, first convert them to the same basis.
$CAKE is PancakeSwap's native token. DeFi applications like this often display annualized returns. Currently 1.931.
Save this and take your time reading it 👇