APR vs. APY: What’s the difference?
Cointelegraph
Published Sep 29, 2022 04:05AM ET
Updated Sep 29, 2022 05:40AM ET
The APY provides a clear idea of an account’s earning potential. The APR shows what will be owed. Both are calculated over a single year, which provides a more accurate picture than calculating the interest rate alone.
Because the APR is calculated at an annual rate, it can be more advantageous for borrowers seeking the best rates, instead of investing in crypto assets and hoping for a return.
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Written By: Cointelegraph
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