APR (Annual Percentage Rate)

APR is the annual interest rate charged on loans or earned through investments, excluding compounding. In crypto, APR typically applies to products like staking, liquidity pools, and lending. It shows the percentage return or cost you will pay or earn in a year. Unlike APY (Annual Percentage Yield), which accounts for compounding interest, APR does not. APR gives investors a clear picture of the expected return or cost without factoring in how often the interest compounds.