Benefits
Compound Interest Will Boost Your Profits
Last updated
Compound Interest Will Boost Your Profits
Last updated
By compounding your rewards back into your investment, you can maximize your yield. Below is an example of what compounding will do for you over the course of 1 year.
APR = Simple Interest APY = Compounded Interest
To understand how it works with the APR/APY, check out our article under "guides". We explain, how APR/APY is calculated.
Compound frequency: Some vaults have a harvest lock and can only be compounded every X hours. Every other vault can be compounded by clicking on the [claim] button. The user, who clicks the button, gets the compound bounty (0.5% of pending amount) and compounds for EVERYONE in the vault. Therefore most vaults will be compounded multiple times a day.