# magicAPE
**magicAPE is Abracadabra’s auto-compounder for APE tokens, where APE yield produced by APE farming on** [**https://apestake.io/**](https://apestake.io/) **is automatically auto-compounded back into magicAPE.**
With magicAPE, the APE yield generated from APE staking is automatically reinvested into magicAPE, which helps you maximize your returns. **Like other vault tokens, over time, the value of magicAPE will increase, due to auto-compounding, causing the magicAPE:APE ratio to rise.**
### Deposit APE tokens into magicAPE
*In order to join the magicAPE auto compounder, you must first hold APE tokens in your wallet. You can purchase APE tokens with various assets on the macha.xyz or 1Inch protocols.*
Once in the wallet, you can deposit **APE** tokens by entering the desired amount in the box at the top right of the screen. The first time you interact with the contract, you will need to approve **APE** token spending before you can click **Stake**.
After approving the transaction in **MetaMask**, you will receive **magicAPE** tokens in your wallet, and rewards will begin compounding!
### Withdraw magicAPE tokens into APE
In order to “Unstake”, please click on the two arrows on the left side of the screen.
Once done, you can specify the amount of **magicAPE** tokens to unstake. The first time you interact with the contract, you will need to approve **magicAPE** token spending before you can click **Unstake**.
After approving the transaction in **MetaMask**, you will receive **APE** tokens in your wallet and will resume earning the base **APE** rewards!
**Note:** The exchange rate between **APE** and **magicAPE** changes twice per day, each time a harvest is called and rewards are compounded!
### magicAPE Dashboard:
The dashboard contains a graph of magicAPE’s historical performance (APY), TVL and Price across various time frames. The y-axis represents the statistics that is showed, and the x-axis represents the date.
On the **Yield** page, you can compare the performance of **magicAPE** yield against that of plain **APE** staked!
In the top right corner of the screen, users will see the **magicAPE APY**, which factors in auto-compounding. This calculation assumes two harvests per day and includes the 1% management fee taken by the protocol.
In the middle right section of the screen, users can view the **magicAPE:APE exchange rate**. As more fees are added, **1 magicAPE** will become worth more than **1 APE**.
Finally, users can check how many **APE** or **magicAPE** tokens are available in their wallet, as well as the dollar value of those tokens. Below that, the total supply of **magicAPE** and the total rewards earned by **magicAPE** will be displayed!
### APY Computation
The APY displayed by magicAPE is computed using APE's APR (taken from apestake.io backend) and computed using the following formula, using two compounding actions per day:
$$
Magic APE APY = (1+APEAPR/N)^N - 1)\*0.99
$$
\
\&#xNAN;*N= (Days in a Year) \* (Number of Compounding action per day) = 730*
