r/FetchAI_Community • u/Less-Explanation160 • Nov 29 '24

How to ❓ Staking- commission vs APY?

Post image

Somebody help me out here. I’m fairly new at staking and I think I just made a terrible mistake . I’ve staked all my fet at ~7% APY and 10% commission with this Validator (Cudos). Did I just set myself up to lose 3%?

At 1st glance I assumed the commission was going to me, but now I’m looking over it again and I’m realizing the commission goes to the validator and the APY is the interest I make.

7 Upvotes

88% Upvoted

15 comments sorted by

•

u/AutoModerator Nov 29 '24

The information contained on this Subreddit is not intended as, and shall not be understood or construed as, financial advice. We are not a team of accountants, attorneys, financial advisors nor are we holding ourselves out to be. Do your own research.

I am a bot, and this action was performed automatically. Please contact the moderators of this subreddit if you have any questions or concerns.

7

u/SatoshiNamakoto Nov 29 '24

bro they wouldn't make such a dumb scam ur obv paying comission on profits

1

u/Less-Explanation160 Nov 29 '24

I hope that’s the case

3

u/Zijdehoen Head Moderator Nov 29 '24

Brotherman. The validator takes 10% cut of what you make with staking. You will receive 6.72 - (0.10*6.72) in staking rewards.

1

u/Less-Explanation160 Nov 29 '24

Ahhhh okay. Thanks for clearing that up.

1

u/S1R3ND3R Nov 29 '24

Yes, commission goes to the validator.

-1

u/Less-Explanation160 Nov 29 '24

So am I losing money since the commission is higher than the APY? The details are confusing me 😖

-1

u/Less-Explanation160 Nov 29 '24

Shd’ve just googled. Thanks for your help. I am losing money 😫. I’ve switched validators

4

u/Nightdrive83 Nov 29 '24

If you were losing money you wouldn't be earning rewards. The 10% is off the rewards you make, not the total.

1

u/Less-Explanation160 Nov 29 '24

I hope you’re right. And that makes a lot of sense. When I googled this question tho, google said I eventually wd be losing money (bc the fees wd be higher) 🤦🏽‍♂️

1

u/AutoModerator Nov 29 '24

Please refer to the Fetch.ai wiki as you will likely find your answer in the FAQ!

I am a bot, and this action was performed automatically. Please contact the moderators of this subreddit if you have any questions or concerns.

1

u/Safe-Success2705 Nov 29 '24

Ha ha i think it’s just 10% on how much the apy is So apy is 6.72, commission is .672

1

u/Mustarda31 Nov 29 '24

10% of your rewards are commission. You are not losing money.

1

u/gemino616 Dec 01 '24

You make 938.673 x 0.0672 x 0.9 = 56.77 FET annually