秘USUAL(USUAL)高额质押收益率数字魔术

SUAL(USUAL)是一款近期表现亮眼的新型稳定币，除了币价涨幅较大之外，USUAL官方质押通道所呈现的惊人收益率也吸引了不少用户的目光。

Usual (USUAL), a new stablecoin, has recently seen strong performance. While the price of the coin has seen sharp increases, the incredible yields offered by USUAL's official staking channels have also garnered attention from many users.

As shown in the image below, information on Usual's official website indicates that the current real-time APY for staking USUAL is as high as 22037%.

Odaily Note: Staking USUAL can unlock governance rights and obtain 10% of newly issued USUAL, which is also the source of USUAL staking income.

Upon clicking on the staking homepage and entering the pre-deposited USUAL amount, the calculation simulation result is exaggerated and more intuitive - assuming that 10,000 USUAL are pledged, it is expected that 2,203,752 USUAL can be obtained in a year, and 6,037 USUAL can be obtained every day...

When many users first see these numbers, their reaction is "Isn't this just picking up money?" But is this really the case? In the following, we will reveal the magic of USUAL's staking yield numbers through a series of calculations.

APR vs APY

Older DeFi players may be more aware that although APR and APY, two seemingly similar indicators, are often used to measure the returns of cryptocurrency investments, the actual impact on returns is very different.

In short, APR does not take into account the effects of compound interest, while APY does incorporate the effects of compound interest into its calculations, often resulting in APY returns often appearing to be higher.

For example, if you deposit $1,000 into a pool with an APR of 100%, then at the end of one year your principal plus earnings will be $2,000; but assuming that the pool uses a daily compounding mechanism, that is, the interest is calculated and reinvested every day, then at the end of one year your principal plus earnings will be approximately $2,718, corresponding to an APY of 171.8%.

The conversion between APR and APY can be calculated based on the following consensus, where n is the compounding frequency. If daily compounding is adopted over a one-year period, n is 365.

APY = (1 + APR/n)^n - 1

Usual's math magic

Back to the USUAL staking scenario, the 22037% here is the APY income, and the official clearly mentioned that it will be automatically compounded every day.

According to the formula in the image above, APY is 22037%, n is 365, and the APR calculation result is 543.65%, corresponding to a daily yield of approximately 1.49%.

Some friends may ask, USUAL's pledge mechanism clearly provides a daily compounding mechanism, why should it be ignored? The reason is that under the compounding model, daily income will gradually increase as the timeline lengthens, and when evaluating short-term income, the APR number is actually more reliable.

Let’s take the example mentioned in the previous article, “Assuming 10,000 USUALs are pledged, it is expected that 6,037 USUALs can be obtained every day within one year”.

If the deposit is really made for a full year, the calculation result is indeed valid if the income situation remains unchanged. However, in reality, after the user pledges 10,000 USUAL, he will not receive 6,037 USUAL in equal amounts every day.

The reality is that after a user stakes 10,000 USUAL, he will only receive about 149 USUAL on the first day (daily yield of 1.49%), and the daily income will gradually increase with compound interest, because the pledged principal will continue to grow with the reinvestment, and the number 6037 is only the daily average over a one-year cycle - note that all of this is based on the premise that the income situation remains unchanged.

Potential risks

Putting aside users who make long-term pledges for other reasons, if you rush to buy coins and pledge just because of the high interest rate of 22037%, please be sure to understand the following risks.

Eliminate the risk of pledge wear and tear

It is worth mentioning that USUAL’s unstaking requires a mandatory 10% fee, which means that based on a daily yield of 1.49%, it will take at least a week for users to recover the 10% unstaking cost after staking.

Risk of increasing pledge scale

The scale of USUAL staking may further expand, thereby diluting the yield.

The current scale