| Year | Held | LP | Lending | Total | $/Day |
|---|---|---|---|---|---|
| 0 | $10,000 | $5,000 | $35,000 | $50,000 | $0.00 |
| 1 | $10,800 | $5,809 | $36,794 | $53,403 | $9.79 |
| 2 | $11,664 | $6,749 | $38,679 | $57,092 | $10.63 |
| 3 | $12,597 | $7,841 | $40,661 | $61,099 | $11.55 |
| 4 | $13,605 | $9,109 | $42,745 | $65,459 | $12.58 |
| 5 | $14,693 | $10,583 | $44,935 | $70,212 | $13.73 |
This calculator simulates the performance of a multi-asset DeFi portfolio. It separates capital into three "buckets" with unique behaviors:
Rebalancing Effect: In a volatile market, frequently rebalancing from winning assets to losing assets (selling high, buying low) can technically outperform "HODL" in sideways markets. This is often called Shannon's Demon or volatility harvesting.
Compound Frequency: Compounding daily vs yearly on a 50% APR asset results in 64.8% APY vs 50% APY. Frequency matters!
