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Real-Time Interest

Definition

Real-Time Interest refers to the continuous accrual and calculation of earnings on digital assets held in decentralized finance protocols, visible to the user without delay. Unlike traditional banking where interest is often calculated periodically, real-time interest updates immediately reflect the current yield. This transparency provides users with an immediate understanding of their asset growth and the dynamic nature of market rates. It enhances capital efficiency and user experience within lending and borrowing platforms. This feature is a distinguishing characteristic of many decentralized finance applications.