How APR is Calculated

Note for DEX Teams:

Here you can explain how your platform calculates the APR shown to liquidity providers.

Tailor the section to reflect your specific UI and reward mechanics. Ensure that any APR displayed on your frontend is clearly broken down and matches this explanation.

In an Algebra-powered DEX with concentrated liquidity, each liquidity provider position earns its own fee share based on its specific price range. The displayed APR reflects a combination of earned swap fees and any additional rewards from active farming campaigns.

LP Fee APR

• dayFees: daily fees in the pool (USD)

• liquidity: total liquidity in the pool

• positionLiquidity: liquidity provided by the position (in range)

• amount0USD: value of token 0 in USD

• amount1USD: value of token 1 in USD

APR is calculated every 2 minutes