When you see a product on Binance Earn that promises an APR of 5%, 10%, or even 30%, it's normal to get excited… but what does that number really mean and how does it work? Let me explain it to you simply 👇
1. What does APR mean?
The APR (Annual Percentage Rate) is the annual interest rate you could receive for locking or subscribing your cryptos in an Earn product.
If you invest $100 USDT with an APR of 12%, in 1 year you should receive ~$12 USDT in rewards (not counting the token's revaluation).
But be careful: not everything is as simple as it seems.
2. APR is not a guaranteed profit.
Many people believe that APR is 'guaranteed profit', but in reality:
APR can vary according to the demand and supply of the product.
In flexible products, yields change almost daily.
In locked products, the APR tends to be more stable, but in return, you sacrifice liquidity.
3. High APR = risk (almost always) ⚠️
If you see an APR of 50% or more, it is probably about:
New tokens in Launchpool, where participation is incentivized.
Higher risk projects, with prices that can be very volatile.
👉 The APR is attractive, but remember that the token value can also drop.
4. APR does not consider token revaluation 📈
An important secret:
If you stake $BNB with 5% APR and the price of $BNB rises by 20% during that time, your actual rewards are much higher.
That is, APR measures interest in tokens, but does not reflect market impact.
5. How to make the most of it
✅ Use high APR in small amounts to explore.
✅ Place the bulk in reliable products like $BNB $ETH or $USDT
✅ Periodically review changes in APR, especially in Earn Flexible.
The APR in Binance Earn is not magic, but a tool that reflects the estimated annual profitability.
The important thing is not just to look at the number, but to understand:
What product you are using (Flexible, Locked, Staking, Launchpool).
How the yield can change.
What risks and opportunities are behind.
👉 The real secret is to diversify and let your cryptos work for you, intelligently.
How do you choose your Earn products, by APR or by token security?
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