🎲Algorand SRB

Learn how Algorand staking rewards are calculated. ALGOSRB formula covers block rewards, Foundation bonus decay, transaction fees, and eligible stake.

ALGOSRB is a benchmark representing the annualized participation reward rate for the ALGO token.

ALGOSRB is calculated and published by Staking Rewards via the Algorand Profile and Data API.

TL;DR: Algorand staking rewards come from block production, combining a decaying Foundation bonus (starting at 10 ALGO/block) plus 50% of transaction fees. The reward rate equals annual block rewards divided by total eligible stake (accounts with 30,000+ ALGO).

$$ALGOSRB = (br * bpy) / es$$

Formula key	Metric name	Description
br	Block Reward	The average reward per block, consisting of a Foundation bonus (starting at 10 ALGO/block, decaying by 1% every 1,000,000 blocks) plus 50% of the block's transaction fees.
bpy	Blocks Per Year	Approximately 11,250,000 blocks/year based on ~2.8 second block time.
es	Eligible Stake	Total online stake from accounts with at least 30,000 ALGO eligible for consensus participation.

• ALGOSRB reflects the reward rate for native consensus participation (block production).

• The rate is empirically measured from observed block payouts and annualized, since both the decaying Foundation bonus and variable transaction fees change every block.

• ALGOSRB is non-compounded, excluding returns from reinvestment of rewards.

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ALGO Validator Staking Reward Rate: ALGOSRB(v)

Algorand does not have a traditional commission model. Native validators earn rewards based on their consensus performance.

$$ALGOSRB(v) = ALGOSRB * p$$

Formula key	Metric name	Description
p	Performance	The validator's voting performance ratio, reflecting their participation in consensus.

RETI Staking Pools

In addition to native validators, Algorand supports RETI smart contract staking pools. These pools have a separate reward rate derived from an APY-to-APR conversion:

$$ALGOSRB_{reti}(v) = ppy * ((1 + poolApy)^{1/ppy} - 1)$$

Formula key	Metric name	Description
poolApy	Pool APY	The per-pool APY from the RETI pool endpoint.
ppy	Periods Per Year	Calculated as 365 * 24 * 60 * 60 / blockTime.

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Observation Period:

1. The ALGOSRB is determined based on the real-time participation data at the point of evaluation.

2. This data is then annualized for a comprehensive year-long projection.

Calculation

The calculation happens every 2 hours and is immediately published via Data API.

Limitations

1. ALGOSRB employs a 365-day convention for annualizing staking rates. This convention remains consistent and does not accommodate adjustments for leap years.

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ALGO Real Reward Rate (ALGOSRB^R)

The real reward rate calculates the ALGOSRB adjusted for inflation in the network.

$$ALGOSRB^R = 1+ALGOSRB /(1+i)-1$$

Formula key	Metric name	Description
i	Inflation Rate	Derived from the annualized variation in circulating supply using historical GlobalAPI data.

Inflation Rate Behaviour

The inflation rate of Algorand is derived from the year-over-year change in circulating supply, reflecting actual token distribution dynamics rather than a fixed tokenomics schedule.

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Other ALGO metrics calculated by Staking Rewards:

Metric	Description
Staked Tokens	Total online stake from all participating accounts.
Staking Wallets	Total number of staking accounts on-chain.
Rewards per Year	The annualized rewards in USD.

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Data Sources:

• Algorand participation and consensus APIs for reward rate, block time, and validator performance

• Algorand RETI pool contracts for staking pool APY data

• CoinGecko for price and supply data

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References:

• Algorand Developer Docs

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📚 Learn more about ALGO Staking

📊 Calculate your ALGO Staking Rewards

⚙️ Access historic ALGO Staking Data via API

Last updated on 03/04/2026