Staking is one of the easiest ways to earn passive income in crypto. But before you lock your tokens, it’s smart to understand how much you can earn. This is where APR comes in.
APR stands for Annual Percentage Rate. It tells you how much you can earn from staking over a year, without compounding.
What Is APR in Staking?
- APR is the yearly return you earn by staking your crypto
- It does not include compounding
- APR is usually shown as a percentage, like 10%, 15%, or 20%
For example, if you stake $1,000 at a 15% APR, you’ll earn $150 in one year.
APR vs APY in Staking
Feature | APR | APY |
---|---|---|
Meaning | Annual Percentage Rate | Annual Percentage Yield |
Includes compounding? | No | Yes |
More accurate for long-term? | No | Yes |
If the platform restakes your rewards, then you’ll want to calculate APY, not APR.
Formula: How to Calculate APR in Staking
APR = (Staking Rewards / Initial Staked Amount) × 100
Example:
You stake 1,000 tokens
After 12 months, you earn 150 tokens
APR = (150 / 1000) × 100 = 15%
How to Calculate APR Manually (Step-by-Step)
- Find your staking rewards – the amount you earned after staking
- Get your initial staked amount – the crypto you started with
- Use the formula – divide rewards by initial stake, then multiply by 100
APR for Different Staking Durations
If your staking period is less than a year:
APR = (Reward / Staked Amount) × (365 / Days Staked) × 100
Example:
Staked: 1,000 tokens
Earned: 25 tokens in 30 days
APR = (25 / 1000) × (365 / 30) × 100 = 30.4%
Tools to Calculate Staking APR
- Crypto Staking APR Calculator
- Binance APR Calculator
- Kraken Staking Rewards Calculator
- Crypto.com Earn Tool
- APR tools on DeFi platforms like Aave or Curve
Things That Affect Your APR
- Token type – some coins offer higher rewards
- Lock-up time – longer staking often earns more
- Network conditions – validator fees, inflation rate, and demand
- Reward distribution – daily, weekly, or monthly
Final Thoughts
APR is a helpful metric to estimate your potential crypto staking rewards. It gives you a clear view of how much you’ll earn in a year without compounding.
If you want to maximize returns, consider APY instead. But for a quick idea of your earnings, APR is all you need.