Staking lets you earn rewards for locking crypto into a blockchain network to help validate transactions. Instead of letting assets sit idle, staking generates yield — compounded over time into a significantly larger holding.
APR (Annual Percentage Rate) is the raw reward rate. APY (Annual Percentage Yield) includes compounding — the more frequently rewards compound, the higher your effective APY.
Daily compounding of a 10% APR gives you ~10.52% APY. Weekly gives ~10.51%. The difference grows larger at higher rates.
Staking rewards compound your coin count. If the coin's price also rises, your USD-denominated returns multiply. Price risk works both ways.
Some protocols require locked staking (e.g., ETH validators had 2-year lockups). Others offer flexible staking with lower rates. Factor in liquidity risk.
ⓘ This calculator models token compounding. Real-world rates fluctuate. Price appreciation is speculative — set to 0% for a conservative coins-only view.
| Year | Tokens Staked | Rewards Earned | Token Price | Portfolio Value (USD) | Annual Yield ($) | ROI |
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A 10% APR compounded daily = 10.52% APY. At 20% APR, daily compounding yields 22.13% APY. Always check whether a protocol quotes APR or APY — they can look similar but compound to very different outcomes.