A longer term comes with a higher annualized reward rate. Read on its own, that sentence makes 365 days look like the only rational choice. During the term you cannot sell or move the assets. The rate is what you are paid for giving up liquidity.
Start with the date you need the money
Tuition, a deposit or any bill with a date should not sit in a lock that ends after that date. A favorable price does not open an early withdrawal. Money you will use soon fits 15 or 30 days. Only money with no near-term job should be considered for a long lock.
Assume the price can fall
Rewards increase the coin count. Fiat value is that count times the price. A 10% increase in coins over a year still loses money in fiat if the price falls 30%. Before comparing rates, ask whether you can hold through that decline until maturity.
Split one balance
Putting the same asset into 30, 90 and 365 days staggers the maturity dates. Only part of the balance earns the longest rate, and the rest comes back sooner so you can decide again. The point is to avoid having every coin locked when the price moves hard.
- Money you will spend soon: the shortest term, or do not stake it.
- Money you are unsure about: mid-length terms with different end dates.
- Money you already planned to hold: apply the long rate to only part of it.
Compare coin counts, not today's fiat total
The fiat figure on a calculator uses today's price. When you compare terms, line up the coin amount you would receive at maturity. Write the price scenario on a separate line.
