🧮 APR calculation

🧮 APR

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APR is solely provided for informational purposes.

APR calculation

The APR (Annual Percentage Rate) is the potential annual yield generated by staking sdTOKENs into their gauge.

Current APR

When rewards are harvested, they are distributed over 7 days to users who have staked their sdTOKENs in the gauge.

The gauge updates the rate and the period_finish properties returned by the reward_data view, and it means that the reward token will be distributed at this rate per second until the period_finish.

Non boosted rewards

Based on the rate and the price of the reward token. The veSDT balance of the user does NOT impact the APR.

The current APR is then the following :

rate×token price×year in secondtotal value locked×100\frac{{\text{{rate}} \times \text{{token price}} \times \text{{year in second}} }}{{\text{{total value locked}}}} \times 100

veSDT boosted rewards

Based on the rate and the price of the reward token, Stake DAO can then compute the APR of a user using his working_balance (a boosted balance based on the users' veSDT position). The rewards boost can range from 1x to 2.5x.

The current APR is then the following :

rate×token price×year in second×user working balancetotal working supply×100\frac{{\text{{rate}} \times \text{{token price}} \times \text{{year in second}} \times \text{{user working balance}}}}{{\text{{total working supply}}}} \times 100

NB : You can spot the APR range on the UI with the → sign.

After computing this APR, Stake DAO deducts fees and displays the APR net of fees.