STORMYIELD FINANCE
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# Staking APY Calculation

“Compound interest is the most powerful force in the universe." - Albert Einstein
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 StormYield Finance, your \$STU tokens represent your principal, and the compound interest is added periodically on every Rebase event (Every 5 minutes).

### 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)

### Example:

P = (Principle + Interest) = \$1,000
A = (Total Accrued Amount) = \$6,692,126.2