Compounding

GROW YOUR YIELD TO INFINITY

Compound Streak: Encouraging Consistent Engagement

APY.LOL’s Compound Streak is an innovative mechanic. This feature rewards (3,3) stakers who regularly compound their rewards by increasing their rebase APR with each consecutive compound. Here’s a closer look at how it works and what it aims to accomplish:

Starting Point: Every user begins with a compound streak of 0.

Actions That Reset the Streak: If you claim rewards, stake new tokens, or unstake any $APY, your streak is reset to 0. This system encourages consistent compounding.

Actions That Increase the Streak: Each time you compound your rewards, your streak increases by 1, pushing you towards a higher APR. The longer you maintain your streak, the more your APR will increase.

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Boosted APR: Higher Rewards with Each Streak Level

APR you earn isn't fixed but grows based on your compound streak, allowing (3,3) users to dynamically increase their rewards. The formula for calculating your boosted APR is both simple and powerful:

Boosted_APR = Base_APR × (1 + (Compound_Streak × 0.05))

This formula describes a linear function, meaning that for every increment in your compound streak, the APR increases proportionally. As long as you continue compounding without resetting your streak, your APR will keep growing. This creates a potential for infinite growth of your rewards.

The more you compound, the more you earn.

Example Calculation: Suppose the base APR is 10%. With a compound streak of 5, your APR becomes 12.5%: 0.1 × (1 + 5 × 0.05) = 0.125

This linear growth model is ideal for those looking to maximize their returns over time, making consistent compounding an incredibly rewarding strategy. As there’s no cap on the streak level, dedicated users can achieve higher APRs, turning compounding into a powerful tool for long-term earnings.

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Leaderboard: Compete for Exclusive Rewards

APY.LOL’s leaderboard adds an exciting competitive edge. Users with the highest compound streaks earn top spots and access to exclusive rewards. These rewards can include rare tokens, limited-edition NFTs, and other perks that enhance the user experience and build a strong community within APY.LOL.

How to Climb the Leaderboard: The leaderboard ranks users based on their compound streak. The more you compound without resetting your streak, the higher you climb.

Rewards for Top Users: The best compounders won’t just gain prestige—they’ll also earn bonus rewards in $APY. Additionally, top performers may receive airdrops of memecoins held within APY.LOL’s ETF.