Stablecoin Yield Ladder Calculator
Split stablecoin capital across short, mid and long yield rungs and see the blended APY, annual yield and monthly income.
How it works
Blended APY = Σ (rung weight × rung APY) · Annual yield = capital × blended APY
A yield ladder staggers stablecoin capital across rungs with different lock-ups and rates — short and liquid, medium, and longer or higher-yield. The blended APY is the allocation-weighted average of the rungs, and laddering trades a little yield for liquidity and diversification, so you are never fully locked into one protocol or maturity. Spreading across rungs also limits how much of your capital is exposed to any single platform’s smart-contract or depeg risk.
Worked example
Ladder $30,000 as 34% at 4%, 33% at 6% and the remaining 33% at 8%. Blended APY = 0.34×4 + 0.33×6 + 0.33×8 ≈ 5.98%, giving about $1,794 a year or roughly $150 a month.
Frequently asked questions
What is the point of laddering stablecoin yield?
It balances yield against liquidity and risk. Short rungs stay accessible and can be redeployed as rates change, while longer or higher-yield rungs lift the overall return — without locking every dollar into one place.
Are stablecoin yields risk-free?
No. Yields carry smart-contract risk, counterparty risk and the chance a stablecoin loses its peg. Spreading across rungs and protocols reduces concentration, but it does not remove these risks — treat the APYs as variable.
How is the blended APY calculated?
It is the weighted average of each rung’s APY by its share of capital. A rung with more money and a higher rate pulls the blend up; the long rung here simply takes whatever percentage the short and mid rungs leave.
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Educational estimate for crypto/DeFi mechanics — token prices are volatile and yields are not guaranteed. Not financial or tax advice.