APR (Annual Percentage Rate)

Annual Percentage Rate (APR) is a financial metric to represent the annualized rate of return on an investment or the cost of borrowing, expressed as a percentage. Unlike the Annual Percentage Yield (APY), APR does not account for the effects of compounding interest, making it a straightforward measure of simple interest earned or paid over a year.

APR is often used to show the potential earnings from staking, lending, or providing liquidity on various platforms. For example, if a staking pool offers a 10% APR, an investor who stakes 100 tokens can expect to earn 10 additional tokens as rewards over the course of one year, assuming no withdrawals or changes in staking conditions.