APY versus APR Poll

👩🏻‍🌾 Calling all farmers, we have a topic for a poll. It is about APRs and APYs displayed on the website.

We are about to get a little educational on the finer points of chad agriculture

For context: APR is a linear / flat annual rate APY is a rate that is compounded to some degree

🌈 At the moment, the profit sharing pool does auto-compounding for you, and shows the APY because that is what you get. Other FARM reward pools like FARM-USDC LP don't do the auto-compounding for you (for now). Most people will check on their farm a few times a week, and compound it manually, which raises the true return from an APR closer to a weekly compounded APY.

↔️ The FARM Profit Sharing pool is right next to the FARM-USDC Uniswap pool. People compare rates between the pools to decide what to do, which affects the distribution of assets between the pools.

📈 Normally, when you go to a bank, the APR and APY are almost the same, because the rates are so low. However in DeFi, when the rates are high, the APR and APY can be very different. This is the case with the Uniswap pool. 250% APR equates to roughly 1,057% APY.

🍉 APY is a bit more longterm, because it is achieved through compounding over a period of time, APR is a bit more short term, but easier to calculate.

🎑 Therefore, although most people use APR and APY interchangeably in their normal lives, this trivial thing can have a material economic impact on the pool distribution between Profit Sharing and Uniswap.

🙋🏼‍♀️ This is an important poll because there is a social contract with displaying these numbers. People want numbers that feel right, and checks out based on their mental model. This vote helps to establish what the social contract is.

Option 🍓 Make everything an APY, for manual farming use weekly compounding APY

Option 🍍 Make only the Profit Sharing an APY, and everything else an APR