Reinvestment
Last updated
Last updated
Every 5 to 10 minutes, the contract will reinvest the mining income generated into high-yield projects. The new income generated will be reinvested again, which can further improve the efficient usage of income funds. This automatic reinvestment reduces transaction fees, time, and costs involved in manual operations.
After the reinvestment, the project yield will increase by more than 40% on the current basis.
And as time goes by, the return on reinvestment will get increasingly higher. Therefore, we do not recommend users to withdraw their earnings frequently on CoinWind.
CoinWind is a large project, which may cause dumping or drastic market fluctuations during the process of swapping gains.
Reinvestments are pertaining to the MDX obtained by mining into the MDX project. As the yield rate of the MDX is higher than other tokens, selling and swapping the mined MDX for the initial token for investment can actually reduce profits, ceteris paribus.
Transaction fees on BSC and ETH are higher than HECO. Reinvestment operations will incur higher gas fees.
There is no false bid for compound interest, where the following are two reasons for its invisibility.
Reinvestments will compound your income over time, thus, making it insubstantial in the short run.
The compound interest curve grows exponentially rather than linearly. As time passes, the rate of compound interest growth will become very salient.
Take 0.00001 linear return (equivalent to the APY of 105%) in 5 minutes for example. When the user invests 1,000 USDT, the expected return from the reinvestment and the return from not participating in the reinvestment are calculated as follows:
Linear principal + income: 1,000*(1+0.00001*(T time/5))
Compound interest principal + income: 1,000*(1+0.00001)^(T2 time/5)
Income\Time | 1D | 3D | 7D | 1M | 6M | 1Y |
Linear (USDT)Principal + income | 1002.88 | 1008.64 | 1020.16 | 1086.4 | 1524.16 | 2051.2 |
Compound Interest (USDT)Principal + income | ≈ 1002.88 | ≈ 1008.68 | ≈ 1020.36 | ≈ 1090.24 | ≈ 1689.03 | ≈ 2861.07 |
From the above data, we can understand the difference between compound interest and linear income (and simple interest). When the user invests in the project for a short period of time, there is no obvious difference in the income obtained from the non-compounded interest project. However, when the investment is for the long term (such as 6 months and 1 year), the income gap is more prominent.
From the above data, we can understand the difference between compound interest and linear income (and simple interest). When the user invests in the project for a short period of time, there is no obvious difference in the income obtained from the non-compounded interest project. However, when the investment is for long term (such as 6 months and 1 year), the income gap is more prominent.
The unclaimed earnings are only displayed on the front end, suggesting the amount of principal you can withdraw. In reality, these assets have been reinvested already. Just like when you deposit your money in a bank, the number shown on the ATM is just an indicator of your asset amount when in actual fact, the bank may use it for some investments.
