Rewards calculation

Protocol APR​

When we refer to Protocol APR, we are talking about the gross Annual Percentage Rate. This rate encompasses the combined rewards earned by our validators from both the Consensus Layer (CL) and the Execution Layer (EL). The rewards are calculated as a ratio of the rewards received by our validators to the total pooled CSPR. The estimation is based on a moving average of the last 7 days, providing a comprehensive overview of the annual rewards earned through the protocol.

Note that APR provides only the current estimation of the protocol rewards based on the historical rewards without any upfront forecasts.

User APR

User APR is the current estimation of the rewards after taking the protocol fee from the protocol rewards. The rewards after taking the protocol fee from the protocol rewards is called User Rewards and used for calculating the increase of the stCSPR rate as follows:

Increase of Rate = User Reward / Total Supply of stCSPR

where User Reward = Protocol Reward * (100 - ProtocolFee) / 100

Updated Rate = Current Rate + Increase Rate

Similar to the protocol APR, the user APR estimation is also based a moving average of the last 7 days.