Odaily Planet Daily News According to the official blog, Binance has announced the launch of a reward margin asset BFUSD specifically created for futures users. This asset aims to support users' futures trading while providing additional rewards. BFUSD is only available on Binance, and holding BFUSD can earn daily USDT rewards, which can be increased by trading USDⓈ-M futures using BFUSD as margin—all funds are provided by Binance's delta hedging and ETH staking strategies. BFUSD can be converted into US dollar stablecoins. To protect users from negative funding rates, Binance has established a reserve fund with initial capital of 1 million USDT. This fund serves as a buffer to address adverse market conditions, such as negative funding rates. The reserve fund continuously replenishes a portion of the daily rewards for BFUSD, growing proportionally with the investments and hedging strategies of BFUSD, ensuring protection against negative funding rates. Currently, USDT is the only supported currency for purchasing BFUSD. Additionally, to use BFUSD as margin, users need to enable the multi-asset mode.

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