Staking APY Compounding Calculator
See how much a staked crypto balance grows over time with compounding rewards, and compare the quoted APY against a simple no-compounding return.
How it works
Balance = principal × (1 + APY ÷ n)^(n × years) · Rewards = balance − principal (n = compounds per year)
Staking rewards restaked over time earn rewards of their own, so the balance follows the compound-growth curve rather than a straight line. The more often rewards are compounded, the larger the final balance — daily restaking beats yearly for the same headline rate. The "extra from compounding" figure isolates exactly how much of your return comes from that snowball rather than the base rate.
Worked example
Staking $5,000 at an 8% APY compounded daily for 3 years gives 5,000 × (1 + 0.08 ÷ 365)^(365 × 3) ≈ $6,356. Simple interest would give 5,000 × (1 + 0.08 × 3) = $6,200, so compounding adds about $156.
Frequently asked questions
What is the difference between APR and APY here?
APR is the plain annual rate before compounding, while APY already reflects rewards compounding over the year. This calculator treats your entered rate as the periodic rate that is compounded n times a year, so the effective yield rises as you increase the compounding frequency.
Do staking rewards really compound automatically?
It depends on the network and platform. Some protocols auto-restake rewards, others require you to claim and restake manually, and a few pay rewards that do not compound at all. Match the "compounds per year" setting to how your rewards are actually reinvested.
Does this account for token price changes or slashing?
No — it compounds the token quantity (or its value) at a fixed rate and ignores price swings, validator slashing and lock-up penalties. Real staking returns in dollar terms also move with the token’s market price.
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Educational estimate, not financial advice. Crypto staking carries risk of loss.