The Math: Compound Frequency vs Total Return

One of the most common questions from new Turbo Loop users: "How often should I Re-Loop?" Daily? Weekly? Monthly? The answer depends on your goals — but the math is clear, and worth understanding.

The general rule

More frequent compounding = higher effective APY, up to a limit. The gap between daily and continuous compounding is small. The gap between daily and monthly is meaningful. The gap between monthly and "never compound" is massive. (Why APR and APY are not the same number is the prerequisite read here.)

A concrete example

Assume 1% daily yield on $1,000, over 90 days:

• Never compound (pure simple interest): $1,000 + ($1 × 90) = $1,090. You earned $90.
• Compound monthly (every 30 days): Roughly $1,334. You earned $334.
• Compound weekly (every 7 days): Roughly $1,390. You earned $390.
• Compound daily: $1,000 × (1.01)^90 = $2,449. You earned $1,449.

From never-compound to daily-compound: 16x more earnings over 90 days, same starting capital, same daily rate. Plug your own deposit into the yield calculator to see your curve.

Why the gap is so wide

Each day's yield becomes new principal earning the next day's yield. The longer you compound, the larger the base, the faster the growth — the compounding film shows the intuition in 90 seconds.

Gas considerations

On BSC, Re-Loop transactions cost $0.10 - $0.50 in BNB. For a $100 position, daily compounding might cost $30/year in gas — breakeven is around weekly. For $1,000+ daily is clearly worth it. (Why we picked BSC over Ethereum is exactly this fee profile.)

Practical recommendation

• Position under $500: Re-Loop weekly.
• Position $500 - $5,000: Re-Loop daily.
• Position over $5,000: Re-Loop daily, consider batching on gas-quiet times.

The key insight: do not let yield sit idle. Whether you compound daily or weekly matters less than whether you compound at all. If the mechanics feel new, the withdraw-and-compound reel shows a Re-Loop on-screen.