Calculator Inputs
Example Data Table
| Strategy | Capital | Total APR | Mode | Days | Exit Price | Net Ending Value |
|---|---|---|---|---|---|---|
| Stablecoin vault | $1,000 | 14.00% | Auto compound | 180 | $1.00 | $1,042.36 |
| Liquid staking token | $2,500 | 8.50% | Simple rewards | 365 | $1.12 | $2,771.88 |
| LP farm with fee drag | $1,500 | 28.00% | Auto compound | 120 | $0.92 | $1,516.84 |
| Reward vault with gas costs | $5,000 | 19.00% | Auto compound | 240 | $1.05 | $5,554.73 |
Formula Used
1) Total quoted APR
Total APR = Base APR + Bonus Reward APR
2) Gross APY for auto compounding
Gross APY = (1 + Total APR / Compounds per Year) ^ Compounds per Year - 1
3) Gross token balance during the holding period
Gross Token Balance = Initial Tokens × (1 + Total APR / n) ^ (n × Days / 365)
4) Simple reward mode
Gross Token Balance = Initial Tokens × (1 + Total APR × Days / 365)
5) Net reward tokens after fees
Net Reward Tokens = Gross Reward Tokens × (1 - Platform Fee) × (1 - Performance Fee)
6) Final value after price move, IL or slippage, and gas
Net Ending Value = (Net Token Balance × Exit Price × (1 - IL or Slippage)) - Gas Cost
7) Annualized net APY
Annualized Net APY = (Net Ending Value / Initial Capital) ^ (365 / Days) - 1
How to Use This Calculator
- Enter your starting capital in dollars.
- Add the token price at entry and your estimated exit price.
- Fill in the base APR and any extra reward APR.
- Choose auto compound or simple rewards mode.
- Set compounding frequency and total holding days.
- Enter platform fee, performance fee, expected IL or slippage, and gas cost.
- Press Calculate APY to show results above the form.
- Use the CSV or PDF buttons to export the calculated output.
FAQs
1. What does APY mean in DeFi?
APY estimates annual growth after reinvesting rewards. In DeFi, it can change with token emissions, pool size, fee structure, and token price movement.
2. What is the difference between APR and APY?
APR shows the quoted yearly rate without compounding. APY reflects reinvestment effects, so APY is usually higher when rewards are compounded regularly.
3. Why do token prices matter in this calculator?
Reward growth may happen in token units, but investors usually measure outcomes in dollars. A falling exit price can erase attractive yield numbers quickly.
4. When should I use simple rewards mode?
Use simple mode when rewards are not reinvested, harvest frequency is irregular, or the strategy pays emissions that you plan to hold separately.
5. Why can net APY be much lower than gross APY?
Gross APY ignores fee drag, gas spending, adverse token price changes, and IL or slippage. Net APY adjusts for those practical losses.
6. Does this calculator handle impermanent loss?
Yes. You can enter an estimated IL or slippage percentage, and the tool reduces the projected ending value before subtracting gas costs.
7. Can the result show a loss?
Yes. Net profit can become negative when fees, gas, IL, or price decline outweigh the generated rewards during your holding period.
8. Are DeFi yields guaranteed?
No. Pool rewards, emissions, protocol risk, smart contract issues, and token volatility can change realized returns significantly from projections.