Good afternoon, sisters!

I just saw #Gate 's #USD1 flexible term activity, and like many others, my first instinct was to check the APR. That number on the page is the most eye-catching, and everyone’s used to comparing returns first.

But after carefully reading the rules, I realized I was focusing on the wrong point. How much USD1 you can earn each day from this activity isn’t mainly about how high the APR is, but whether your USD1 has been consistently kept in an active account.

The activity has no lock-up period, and no extra steps are needed—just put USD1 into the designated asset account to participate. The system calculates the average holding based on 24-hour hourly snapshots, then uses that day’s APR to determine the reward, which is directly credited as USD1 the next day. It’s based on the average holdings throughout the day, not the balance at a specific moment.

Many people think that as long as the APR is high enough, that’s enough, but if funds are transferred in today and moved out tomorrow, the average holdings will change accordingly. The APR is adjusted daily, so it’s hard to fully control. Instead, the most overlooked factor is your actual holding status, which has the biggest impact on the final results.

I quite like that this time the reward is directly given as USD1. In previous activities, many issued project tokens, which after arrival required deciding whether to sell and when. When the market fluctuates, even a good-looking account balance can shrink. This time, after receiving USD1, it can stay in the account and continue to participate in the next calculation round, making it more convenient to use.

Of course, there are a few points to watch out for. The APR is dynamically adjusted, and the platform updates it based on the reward budget and the effective total holdings across the platform. The more participants, the more normal it is for the yield to fluctuate. Also, not all USD1 counts as effective holdings—some in Earn products don’t, and there’s a maximum holding limit for the activity. Excess amounts may not generate rewards anymore.

So, looking at this activity now, it’s more like providing a balanced option for idle USD1—liquidity and yield are relatively balanced. Funds don’t need to be locked, and can be moved at any time when needed, while not being completely idle.

In the current market, many people have idle funds and are looking for places that don’t require locking but still offer some returns. This activity seems quite suitable. As more funds flow in, I’m curious whether the biggest factor affecting yield will be the increase in participants or the influx of large amounts of capital. I’d love to hear everyone’s thoughts on this.

Which factor do you think will have a bigger impact?