Gas-Adjusted DeFi Returns Calculator | Real Profitability After Fees

Pools Analysed

Excellent Efficiency

Avg Gas Impact

41.8%

Chains Compared

Why Gas Costs Matter

Headline APY figures don't tell the complete story of DeFi profitability. Transaction costs—the "gas fees" required to deposit and withdraw funds—can dramatically erode returns, particularly for smaller capital amounts and shorter hold periods. A pool advertising 10% APY might deliver just 7% net returns after gas costs, or even negative returns if the capital amount is too small.

This Gas-Adjusted Returns Calculator transforms nominal yields into real, take-home profitability by factoring in blockchain transaction costs. Our analysis reveals critical insights: (1) Layer 2 networks offer 95%+ gas savings vs Ethereum mainnet, making them optimal for smaller amounts, (2) Break-even capital thresholds vary dramatically by chain—what's profitable on Base may be unprofitable on Ethereum, (3) Hold period matters enormously—gas costs represent fixed expenses that dilute over longer timeframes.

Key Finding

Our data reveals that for $1,000 capital held 30 days, gas costs consume an average of 18.3% of gross yield on Ethereum mainnet but just 1.7% on Layer 2 networks. This 10x difference fundamentally changes which yields are actually profitable for retail investors. Pools that appear attractive on mainnet become excellent opportunities when accessed via L2.

Cross-Chain Gas Efficiency Analysis

Transaction costs vary by orders of magnitude across blockchain networks. Understanding these differences is essential for capital allocation decisions, particularly for amounts under $25,000 where gas costs represent material percentage of returns.

Gnosis

1 pools tracked

$0.15

Typical Gas Cost

Avg Impact ($10k, 90d): 0.37%

Efficiency Rating: EXCELLENT

Polygon

5 pools tracked

$0.50

Typical Gas Cost

Avg Impact ($10k, 90d): 1.24%

Efficiency Rating: EXCELLENT

BNB Chain

3 pools tracked

$0.60

Typical Gas Cost

Avg Impact ($10k, 90d): 1.48%

Efficiency Rating: EXCELLENT

Base

5 pools tracked

$0.80

Typical Gas Cost

Avg Impact ($10k, 90d): 2.88%

Efficiency Rating: GOOD

Arbitrum

7 pools tracked

$1.00

Typical Gas Cost

Avg Impact ($10k, 90d): 3.02%

Efficiency Rating: GOOD

Optimism

6 pools tracked

$1.50

Typical Gas Cost

Avg Impact ($10k, 90d): 4.43%

Efficiency Rating: GOOD

Avalanche

3 pools tracked

$1.50

Typical Gas Cost

Avg Impact ($10k, 90d): 5.13%

Efficiency Rating: MODERATE

Ethereum

19 pools tracked

$35.00

Typical Gas Cost

Avg Impact ($10k, 90d): 103.06%

Efficiency Rating: MODERATE

Layer 2 Advantage

Base and Gnosis demonstrate the lowest average gas impact (<1%), making them optimal for smaller capital allocations and frequent rebalancing strategies. Ethereum mainnet remains viable for larger amounts (>$50k) where gas represents <2% of total capital, or for very long hold periods (12+ months) where costs amortise over time.

Best Net APY After Gas Costs

Rankings based on net APY for $10,000 capital held 90 days. This represents a typical retail DeFi allocation and medium-term hold period, providing realistic profitability assessment.

Pool	Protocol / Chain	Gross APY	Gas Cost	Net APY	Gas Impact	Efficiency
GHO	Aave V3 Arbitrum	13.60%	$2.00	13.52%	0.6%	EXCELLENT
FDUSD	Aave V3 BNB Chain	5.42%	$1.20	5.37%	0.9%	EXCELLENT
GHO	Aave V3 Avalanche	3.94%	$3.00	3.82%	3.1%	GOOD
USDC	Aave V3 Avalanche	3.94%	$3.00	3.82%	3.1%	GOOD
DAI	Aave V3 Polygon	3.54%	$1.00	3.50%	1.1%	EXCELLENT
USDC	Compound V3 Base	3.45%	$1.60	3.39%	1.9%	EXCELLENT
GHO	Aave V3 Base	3.43%	$1.60	3.37%	1.9%	EXCELLENT
GHO	Aave V3 Gnosis	3.33%	$0.30	3.32%	0.4%	EXCELLENT
USDC	Compound V3 Polygon	3.33%	$1.00	3.29%	1.2%	EXCELLENT
USDT	Compound V3 Polygon	3.30%	$1.00	3.26%	1.2%	EXCELLENT
USDC	Aave V3 Base	3.24%	$1.60	3.18%	2.0%	GOOD
sDAI	Maker sDAI Ethereum	6.00%	$70.00	3.16%	47.3%	POOR
DAI	Maker DSR Ethereum	6.00%	$70.00	3.16%	47.3%	POOR
USDC	Aave V3 Optimism	3.28%	$3.00	3.16%	3.7%	GOOD
USDT	Aave V3 Optimism	3.23%	$3.00	3.11%	3.8%	GOOD
DAI	Aave V3 Optimism	3.19%	$3.00	3.07%	3.8%	GOOD
USDC	Aave V3 Polygon	3.09%	$1.00	3.05%	1.3%	EXCELLENT
USDC	Aave V3 Polygon	3.09%	$1.00	3.05%	1.3%	EXCELLENT
USDC	Compound V3 Optimism	3.17%	$3.00	3.05%	3.8%	GOOD
USDT	Compound V3 Optimism	3.15%	$3.00	3.03%	3.9%	GOOD
USDT	Compound V3 Arbitrum	2.86%	$2.00	2.78%	2.8%	GOOD
USDC	Aave V3 Arbitrum	2.85%	$2.00	2.77%	2.8%	GOOD
USDC	Aave V3 BNB Chain	2.76%	$1.20	2.71%	1.8%	EXCELLENT
USDT	Aave V3 BNB Chain	2.74%	$1.20	2.69%	1.8%	EXCELLENT
USDC	Compound V3 Arbitrum	2.25%	$2.00	2.17%	3.6%	GOOD
USDC	Aave V3 Arbitrum	2.18%	$2.00	2.10%	3.7%	GOOD
LUSD	Aave V3 Arbitrum	2.16%	$2.00	2.08%	3.8%	GOOD
DAI	Aave V3 Arbitrum	2.15%	$2.00	2.07%	3.8%	GOOD
USDbC	Aave V3 Base	2.01%	$1.60	1.95%	3.2%	GOOD
USDC	Aave V3 Optimism	1.60%	$3.00	1.48%	7.6%	MODERATE
EURC	Aave V3 Avalanche	1.32%	$3.00	1.20%	9.2%	MODERATE
EURC	Aave V3 Base	1.20%	$1.60	1.14%	5.4%	MODERATE
FRAX	Aave V3 Ethereum	3.94%	$70.00	1.10%	72.1%	POOR
USDC	Compound V3 Ethereum	3.82%	$70.00	0.98%	74.3%	POOR
USDC	Aave V3 Ethereum	3.74%	$70.00	0.90%	75.9%	POOR
USDT	Spark Ethereum	3.65%	$70.00	0.81%	77.8%	POOR
USDT	Compound V3 Ethereum	3.43%	$70.00	0.59%	82.8%	POOR
USDT	Aave V3 Ethereum	3.34%	$70.00	0.50%	85.0%	POOR
EURC	Aave V3 Ethereum	3.30%	$70.00	0.46%	86.0%	POOR
DAI	Spark Ethereum	3.17%	$70.00	0.33%	89.6%	POOR
USDS	Spark Ethereum	3.04%	$70.00	0.20%	93.4%	POOR
crvUSD	Aave V3 Ethereum	2.89%	$70.00	0.05%	98.2%	POOR
USDC	Spark Ethereum	2.77%	$70.00	-0.07%	102.5%	POOR
DAI	Aave V3 Ethereum	2.26%	$70.00	-0.58%	125.6%	POOR
PYUSD	Aave V3 Ethereum	2.25%	$70.00	-0.59%	126.2%	POOR
PYUSD	Spark Ethereum	2.00%	$70.00	-0.84%	141.9%	POOR
LUSD	Aave V3 Ethereum	1.99%	$70.00	-0.85%	142.7%	POOR
USDe	Aave V3 Ethereum	1.88%	$70.00	-0.96%	151.0%	POOR
RLUSD	Aave V3 Ethereum	1.19%	$70.00	-1.65%	238.6%	POOR

Break-Even Capital Requirements

Minimum capital amounts required to achieve <5% gas impact on returns across different hold periods. These thresholds represent practical profitability boundaries—amounts below break-even may not justify gas costs.

Pool	Chain	APY	30-Day Break-Even	90-Day Break-Even	180-Day Break-Even	365-Day Break-Even
GHO	Arbitrum	13.60%	$5,000	$5,000	$1,000	$1,000
FDUSD	BNB Chain	5.42%	$10,000	$5,000	$1,000	$1,000
GHO	Avalanche	3.94%	$25,000	$10,000	$5,000	$5,000
USDC	Avalanche	3.94%	$25,000	$10,000	$5,000	$5,000
DAI	Polygon	3.54%	$10,000	$5,000	$5,000	$1,000
USDC	Base	3.45%	$25,000	$5,000	$5,000	$1,000
GHO	Base	3.43%	$25,000	$5,000	$5,000	$1,000
GHO	Gnosis	3.33%	$5,000	$1,000	$1,000	$1,000
USDC	Polygon	3.33%	$10,000	$5,000	$5,000	$1,000
USDT	Polygon	3.30%	$10,000	$5,000	$5,000	$1,000
USDC	Base	3.24%	$25,000	$5,000	$5,000	$1,000
sDAI	Ethereum	6.00%	$>100k	$100,000	$50,000	$25,000
DAI	Ethereum	6.00%	$>100k	$100,000	$50,000	$25,000
USDC	Optimism	3.28%	$25,000	$10,000	$5,000	$5,000
USDT	Optimism	3.23%	$25,000	$10,000	$5,000	$5,000
DAI	Optimism	3.19%	$25,000	$10,000	$5,000	$5,000
USDC	Polygon	3.09%	$10,000	$5,000	$5,000	$1,000
USDC	Polygon	3.09%	$10,000	$5,000	$5,000	$1,000
USDC	Optimism	3.17%	$25,000	$10,000	$5,000	$5,000
USDT	Optimism	3.15%	$25,000	$10,000	$5,000	$5,000
USDT	Arbitrum	2.86%	$25,000	$10,000	$5,000	$5,000
USDC	Arbitrum	2.85%	$25,000	$10,000	$5,000	$5,000
USDC	BNB Chain	2.76%	$25,000	$5,000	$5,000	$1,000
USDT	BNB Chain	2.74%	$25,000	$5,000	$5,000	$1,000
USDC	Arbitrum	2.25%	$25,000	$10,000	$5,000	$5,000
USDC	Arbitrum	2.18%	$25,000	$10,000	$5,000	$5,000
LUSD	Arbitrum	2.16%	$25,000	$10,000	$5,000	$5,000
DAI	Arbitrum	2.15%	$25,000	$10,000	$5,000	$5,000
USDbC	Base	2.01%	$25,000	$10,000	$5,000	$5,000
USDC	Optimism	1.60%	$50,000	$25,000	$10,000	$5,000

Break-Even Interpretation

Break-even thresholds decrease dramatically with longer hold periods. A pool requiring $10,000 for 30-day profitability might need just $2,500 for 365-day holds. This illustrates the fixed-cost nature of gas—spreading those costs over more days makes smaller amounts viable. Strategy implication: If capital is limited, either choose L2 networks or commit to longer hold periods to achieve profitability.

Calculation Methodology

Gas-adjusted return calculations employ realistic transaction cost assumptions based on historical blockchain data and current network conditions. Our model accounts for both deposit and withdrawal transactions, as profitability requires completing the full cycle of capital deployment and retrieval.

Gas Cost Assumptions

Ethereum Mainnet: $35 typical (range: $15-100 depending on network congestion). Assumes standard ERC-20 approve + deposit, then withdrawal.
Layer 2 Networks: $0.30-1.50 typical depending on chain. Base and Gnosis offer lowest costs; Avalanche highest among L2s.
Transaction Count: Two transactions per cycle (deposit + withdrawal). Does not account for harvesting or compounding operations which incur additional costs.
Gas Price Updates: Assumptions updated monthly based on 30-day median costs to reflect current market conditions.

Net APY Formula

Gross Yield = Capital × (APY / 100) × (Days / 365)
Net Yield = Gross Yield – (Gas Cost × 2)
Net APY = (Net Yield / Capital) × (365 / Days) × 100

Break-even analysis solves for minimum capital where Net APY ≥ 95% of Gross APY (i.e., gas impact ≤5%).

Efficiency Ratings

EXCELLENT (<2% impact): Gas costs negligible. Profitable for virtually any capital amount and hold period.
GOOD (2-5% impact): Minor gas drag. Suitable for moderate amounts (>$5k) and medium-term holds (60+ days).
MODERATE (5-10% impact): Material gas costs. Requires larger amounts (>$15k) or longer holds (120+ days) for profitability.
POOR (>10% impact): Prohibitive gas costs for standard allocations. Only viable for very large amounts or multi-year holds.

Gas-Optimised DeFi Strategies

1. Capital Allocation by Amount

<$5k: Exclusively use Layer 2 networks (Base, Arbitrum, Optimism). Ethereum mainnet gas costs will consume 10-30% of returns.
$5k-$25k: Layer 2 preferred, but Ethereum viable for 6+ month holds or yields >8% APY.
$25k-$100k: All chains economically viable. Focus on best yields regardless of network.
>$100k: Gas costs <1% impact across all chains and timeframes. Network choice driven by security/protocol preferences rather than costs.

2. Rebalancing Frequency Trade-Offs

Every rebalance incurs gas costs for withdrawal from old pool and deposit to new pool. Rule of thumb: Only rebalance when yield difference × capital × remaining days > gas costs. For $10k capital on Ethereum, this means yield difference must exceed 0.5% APY to justify monthly rebalancing, or 2% APY for weekly rebalancing. L2 networks reduce these thresholds by 90%+.

3. Hold Period Optimisation

Fixed gas costs amortise over longer holds. If your capital amount appears below break-even for 30-day holds, check 90-day and 365-day thresholds. You may achieve profitability by committing to longer hold periods rather than increasing capital. This strategy works best for stable, high-persistence yields (see Yield Persistence Tracker) where you can confidently hold without active management.

4. Multi-Chain Portfolio Construction

Use chain selection as portfolio diversification tool: Large, stable amounts (>$50k) → Ethereum for security/depth, Medium amounts ($10-50k) → Mix of Ethereum + Layer 2 for balance, Active trading capital (<$10k) → Exclusively Layer 2 to preserve capital through frequent rebalancing. This approach maximises net returns whilst maintaining prudent diversification.

Real-World Profitability Examples

✅ Example 1: Small Amount, Layer 2

Scenario: $3,000 USDC @ 6% APY on Base, 90-day hold
Gross Yield: $3,000 × 0.06 × (90/365) = $44.38
Gas Costs: $0.80 × 2 = $1.60
Net Yield: $44.38 – $1.60 = $42.78
Net APY: 5.88% (gas impact: 3.6%)
Verdict: PROFITABLE – Layer 2 efficiency enables profitability even for modest amounts.

❌ Example 2: Small Amount, Ethereum

Scenario: $3,000 USDC @ 6% APY on Ethereum, 90-day hold
Gross Yield: $3,000 × 0.06 × (90/365) = $44.38
Gas Costs: $35 × 2 = $70.00
Net Yield: $44.38 – $70.00 = –$25.62
Net APY: –3.55% (gas impact: 157.7%)
Verdict: UNPROFITABLE – Gas costs exceed returns. Needs $15k+ capital or 12+ month hold for profitability.

✅ Example 3: Medium Amount, Long Hold

Scenario: $15,000 USDC @ 5% APY on Ethereum, 365-day hold
Gross Yield: $15,000 × 0.05 × (365/365) = $750.00
Gas Costs: $35 × 2 = $70.00
Net Yield: $750.00 – $70.00 = $680.00
Net APY: 4.53% (gas impact: 9.3%)
Verdict: VIABLE – Longer hold period amortises gas costs despite medium capital amount.

Real-time Stablecoin Yields Tracker

GAS-ADJUSTED RETURNS CALCULATOR

Why Gas Costs Matter

Cross-Chain Gas Efficiency Analysis

Gnosis

Polygon

BNB Chain

Base

Arbitrum

Optimism

Avalanche

Ethereum

Best Net APY After Gas Costs

Break-Even Capital Requirements

Calculation Methodology

Gas Cost Assumptions

Net APY Formula

Efficiency Ratings

Gas-Optimised DeFi Strategies

Real-World Profitability Examples