Understanding how to calculate APY is an important part! Let's dive in right into it :)
APY (without reinvestment) on Nominex exchange is calculated using the following formula:
RNMX – USDT per NMX rate.
FD365 – distribution of the Primary and Bonus pools tokens over the next 365 days.
TSUSDT – the total staked amount in USDT.
You can find the rate of NMX on the page: https://nominex.io/my/nmx/pool
the number of the total staked USDT on the page https://nominex.io/my/nmx/personal-staking
and the future distribution of tokens into a modal window on any DeFi page:
For example, on the screenshots above, the NMX rate is 4.52154, the total staked value is 8,086,199.85 USDT and 4,119,672 + 823,934 = 4,943,606 NMX tokens will be distributed in the future.
If we apply these values to the formula we get:
If we want to calculate APY with reinvestment, we use the Effective Interest Rate formula:
i – stated annual interest rate.
n – number of compounding periods.
We take n as 12 for monthly reinvestment, and as 365/7=52 for weekly reinvestment