How is Borrow APR for a currency calculated?

Borrow APR for a currency = algorithmic based on reserve utilization. The following graph roughly resembles Nuo's dynamic Borrow APR

Reserve Utilization for a given currency= funds loaned out currently/ funds deposited in reserves for the currency

At any given time, if x-axis gives us the Reserve Utilization for a particular currency then y-axis gives us the borrow APR for that currency.


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