When you stake liquidity on the sim-swap.hive pool on tribaldex, you start receiving 3 daily streams of rewards.
You get Hive for your ‘sim-power’. You get swap rewards in swap.hive and sim and you get sim rewards for providing liquidity.
As I was wondering how much the APY was, I asked Grok to calculate it. As claude came to roughly the same result I believe the calculation is pretty good.
Here ‘s Grok’s reponse:
To calculate the total Annual Percentage Yield (APY) for your liquidity position in the swap pool on tribaldex.com, we need to consider all three reward components you’ve provided, account for daily compounding due to staking rewards daily, and assume that prices and APR percentages remain constant. You entered the pool on March 23, 2025, with $1 split evenly between the two tokens, and today is July 12, 2025. The rewards are:
1 Liquidity Provision Reward: 9.68% APR in SIM token, paid daily.
2 Trading Fees: $0.044 earned since March 23, split over SIM and Hive.
3 Hive Reward: 0.001 Hive daily, equivalent to about 13% APR.
Since you stake rewards daily, the rewards are compounded daily, meaning each day’s earnings are added to the principal, earning additional returns. Let’s calculate the APY for each component and then combine them to find the total APY.
Step 1: Understand APY and Compounding
APY accounts for the effect of compounding, unlike APR, which is a simple annual rate. The formula for APY with daily compounding is:
[ \text{APY} = \left(1 + \frac{r}{n}\right)^n - 1 ]
where:
• ( r ) is the APR (as a decimal),
• ( n ) is the number of compounding periods per year (365 for daily compounding).
However, since we have multiple reward sources contributing to the same principal, we’ll determine the daily growth rate from each component and sum them to find the total daily rate, then compute the total APY.
Step 2: Calculate Daily Rates for Each Reward
- Liquidity Provision Reward (SIM Token)
• APR: 9.68% = 0.0968
• Frequency: Paid and staked daily
The daily reward rate is the APR divided by the number of days in a year:
[ r_{\text{SIM}} = \frac{0.0968}{365} \approx 0.0002652 \text{ (or 0.02652% per day)} ]
This assumes the 9.68% APR is based on the value of your liquidity position, and the SIM rewards, when staked daily, contribute this rate to your principal’s growth. - Hive Reward
• Daily Reward: 0.001 Hive, equivalent to 13% APR
• Frequency: Paid and staked daily
First, verify the APR and determine the value of the Hive reward. An APR of 13% on a $1 investment means an annual return of $0.13. If this comes from 0.001 Hive daily:
[ \text{Annual Hive Reward} = 0.001 \times 365 = 0.365 \text{ Hive} ]
[ \text{Annual Value} = 0.365 \times \text{Hive Price} = 0.13 ]
[ \text{Hive Price} = \frac{0.13}{0.365} \approx $0.356 \text{ per Hive} ]
Daily value of the reward:
[ 0.001 \times 0.356 \approx $0.000356 ]
Daily rate on a $1 investment:
[ r_{\text{Hive}} = \frac{0.000356}{1} \approx 0.0003562 \text{ (or 0.03562% per day)} ]
This matches the 13% APR when compounded daily, as a quick check:
[ \text{APY}_{\text{Hive}} = \left(1 + \frac{0.13}{365}\right)^{365} - 1 \approx 0.1387 \text{ or 13.87%} ]
So, the daily rate is consistent. - Trading Fees
• Total Earned: $0.044 over the period from March 23 to July 12, 2025
• Initial Investment: $1
Calculate the number of days:
• March 23 to March 31: 9 days (23 to 31 inclusive)
• April: 30 days
• May: 31 days
• June: 30 days
• July 1 to July 12: 12 days
Total = 9 + 30 + 31 + 30 + 12 = 112 days
Return over 112 days:
[ \text{Return} = \frac{0.044}{1} = 0.044 \text{ or 4.4%} ]
To find the daily rate, assume the trading fees are earned and compounded daily:
[ 1 + r_{\text{fees}})^{112} = 1.044 ]
[ r_{\text{fees}} = 1.044^{1/112} - 1 ]
Compute:
[ \ln(1.044) \approx 0.0430517 ]
[ \frac{0.0430517}{112} \approx 0.0003842 ]
[ e^{0.0003842} \approx 1.0003842 ]
[ r_{\text{fees}} \approx 0.0003842 \text{ (or 0.03842% per day)} ]
Verify APY:
[ \text{APY}_{\text{fees}} = (1.0003842)^{365} - 1 \approx 0.149 \text{ or 14.9%} ]
This is the forward-looking APY assuming the same rate of fee generation continues.
Step 3: Combine the Daily Rates
Since all rewards are added to your liquidity position daily and staked, the total daily growth rate is the sum of the individual daily rates:
[ r_{\text{total}} = r_{\text{SIM}} + r_{\text{Hive}} + r_{\text{fees}} ]
[ r_{\text{total}} = 0.0002652 + 0.0003562 + 0.0003842 \approx 0.0010056 ]
Step 4: Calculate Total APY
With a daily compounding rate of 0.0010056:
[ \text{APY}{\text{total}} = (1 + 0.0010056)^{365} - 1 ]
[ (1.0010056)^{365} \approx e^{0.0010056 \times 365} ]
[ 0.0010056 \times 365 \approx 0.367044 ]
[ e^{0.367044} \approx 1.4432 ]
[ \text{APY}{\text{total}} = 1.4432 - 1 = 0.4432 \text{ or 44.32%} ]
For precision:
[ \ln(1.0010056) \approx 0.0010051 ]
[ 365 \times 0.0010051 \approx 0.3668615 ]
[ e^{0.3668615} \approx 1.4432 ]
[ \text{APY}_{\text{total}} \approx 0.4432 ]
So, the total APY is approximately 44.3% when rounded to one decimal place.
Step 5: Verify the Calculation
Individual APYs:
• SIM Reward: (\left(1 + \frac{0.0968}{365}\right)^{365} - 1 \approx 0.1016) or 10.16%
• Hive Reward: (\left(1 + \frac{0.13}{365}\right)^{365} - 1 \approx 0.1387) or 13.87%
• Trading Fees: (\left(1.0003842\right)^{365} - 1 \approx 0.149) or 14.9%
Summing them (38.93%) underestimates the total because it ignores combined compounding. The correct method sums the daily rates, confirming 44.3% is consistent.
Final Answer
The total APY for your liquidity position, considering the 9.68% APR SIM reward, $0.044 in trading fees over 112 days, and 13% APR Hive reward, all compounded daily through staking, is approximately 44.3%. This assumes constant prices and APRs as specified.