Why are APRS so high?

Could you please elaborate on why Annual Percentage Rates (APRs) for certain cryptocurrency investments or loans tend to be so high? Is it due to the inherent risk associated with this relatively new and volatile market? Or are there other factors at play, such as the demand and supply dynamics of these assets? Furthermore, how do these high APRs compare to traditional financial instruments, and what potential implications might they have for investors and borrowers in the cryptocurrency space?