Annual percentage yield (APY) is the rate of return gained over the course of a year on a specific investment. Compounding interest, which is computed on a regular basis and applied to the am
Annual percentage yield (APY) acts as a cryptocurrency savings account
similar to an annual percentage rate
(APR) account. You may deposit your bitcoin
(or another crypto asset) and receive a fixed rate of return over a specific period of time
The annual percentage yield (APY) is a method of calculating the amount of money earned on a money market account
over the course of a year. To put it another way, this is a technique to track how interest
accumulates over time.
Cryptocurrency savings accounts with APY may be just what you need if you are a crypto investor who wants to make a return on investment while holding it. There are a number of crypto yield programs to choose from. Therefore, do your research before signing up for one. Factors like fees, entrance barriers, interest-earning procedure, and types of crypto assets available may vary from platform to platform. s
There are also introductory APYs that crypto exchanges
offer and you should be careful before investing in them. Some of these programs utilize the strategy of offering higher APYs to attract customers in the beginning and drop the rates after trapping a big pool of customers. If you come across a yield farming
platform or program offering high APYs, make sure to check its credibility in the community.