LP rewards PancakeSwap

Calculating Farm Base Reward APR The Farm Base APR is calculated according to the farm multiplier and the total amount of liquidity in the farm — this is the amount of CAKE distributed to the farm .

APR is expressed as a percentage that represents the actual yearly cost of funds over the term of a loan or income earned on an investment . This includes any fees or additional costs associated with the transaction but does not take compounding into account.

APR is calculated as the percentage of your initial deposit you will receive back after 365 days .

Yield farming is one of the oldest concepts in Decentralized Finance (DeFi). Also referred to as liquidity mining or liquidity farming, the concept involves generating income from holding cryptocurrencies . In short, it is a means of locking cryptocurrency assets to get rewards.