Fixed APY

APY stands for Annual Percentage Yield. This measures the real rate of return on your principal amount by taking into account the effect of compounding interest. In the case of REX, your $REX tokens represent your principal, and the compound interest is added periodically on every Rebase event (Every 15 minutes), otherwise known as an 'Epoch'.

Your new principal amount is your then current REX token amount, plus your new rebase token amount. This total amount is what gets calculated for your next rebase rewards.

The Power of Compound Interest - It is important to note that your balance will grow not linearly but exponentially over time.

How is APY calculated?

Simple Interest Equation (Principal + Interest)

A = P(1 + rt)

Where:

• A = Total Accrued Amount (principal + interest)

• P = Principal Amount

• I = Interest Amount

• r = Rate of Interest per year in decimal; r = R/100

• R = Rate of Interest per year as a percent; R = r * 100

• t = Time Period involved in months or years

From the base formula, A = P(1 + rt) derived from A = P + I and since I = Prt then A = P + I becomes A = P + Prt which can be rewritten as A = P(1 + rt)

Note that rate r and time t should be in the same time units such as months or years. Time conversions that are based on day count of 365 days/year have 30.4167 days/month and 91.2501 days/quarter. 360 days/year have 30 days/month and 90 days/quarter.

Simple Interest Formulas and Calculations:

A = the Final Investment Value, using the simple interest formula: A = P(1 + rt) where P is the Principal amount of money to be invested at an Interest Rate R% per period for t Number of Time Periods. Where r is in decimal form; r=R/100; r and t are in the same units of time.

The accrued amount of an investment is the original principal P plus the accumulated simple interest, I = Prt, therefore we have:

A = P + I = P + (Prt), and finally A = P(1 + rt)

• Calculate Total Amount Accrued (Principal + Interest), solve for A

  • A = P(1 + rt)

• Calculate Principal Amount, solve for P

  • P = A / (1 + rt)

• Calculate rate of interest in decimal, solve for r

  • r = (1/t)(A/P - 1)

• Calculate rate of interest in percent

  • R = r * 100

• Calculate time, solve for t

  • t = (1/r)(A/P - 1)