Investors who don’t understand the cryptocurrency world have the stereotype that it is a gaming field. If they want to make money, they have to buy high and sell low, or even increase leverage. If they encounter a one-sided market, their positions will be liquidated and they will lose all their money?
👉🏻 In fact, as the market ecology becomes increasingly compliant and perfect, even if you do not speculate in cryptocurrencies, there are many ways for you to obtain higher annualized returns than traditional finance with relatively low risks!
Today we will introduce the financial return products provided by Binance @binancezh, the best compliant exchange and the world's largest cryptocurrency exchange.
PumpPump organizes Binance's numerous financial products into several major categories!
Let you know all in one article, I believe there is always one suitable for you.
1️⃣ Capital-guaranteed and coin-earning products (low risk)
[Protect your capital and earn coins] can be understood as the common current, fixed, and some additional products in traditional banks. The source of income comes from the interest paid by users in Binance staking and leveraged trading.
1. Binance Financial Management Current and Fixed Deposits (reference annual rate: 3% ~ 22%)
There are many currencies to choose from in this category, and the annualized returns are also very different. In addition to the conventional stable currencies such as USDT, BNB, BTC, there are also many other currencies with greater volatility to choose from.
(HODLer is also a derivative product of current financial management)
2. Staking mining income (reference annualized: 10-14%)
It is mainly composed of BNB, ETH, SOL and other income pools. For example, Launchpool and MegaDrop, which often bring surprises to everyone, are staking mining income products.
3. Super coin earning (reference annual rate: 1% ~ 300%)
The high returns of Super Earning Coins are generally concentrated in the period when each token is first launched. The highest rate of return may reach 300%, and the quota is limited. It will return to normal later, so the rate of return will fluctuate greatly.
2️⃣ High-yield financial products (medium to high risk)
It is mainly a financial derivative product composed of spot and options.
1. Dual Currency Investment
Dual currency investment is essentially a derivative product that purchases spot products and sells options. The corresponding traditional financial product is the Dual Currency Combination (DCI). Users can choose to "buy low" or "sell high" a certain cryptocurrency at a preset price on a certain date in the future.
"Buy Low": If you want to buy cryptocurrency when the price is low, you can set a lower buying price. If the market price drops to or below this price, you will be able to buy at a lower price.
"Sell High": If you want to sell your cryptocurrency at a higher price in the future, you can set a higher selling price. When the market price reaches or exceeds this price, your cryptocurrency will be automatically sold.
💡 In short:
Betting on the rise or fall, if you guess right, you can earn extra price difference income. If you guess wrong, it doesn’t matter, you will also get a guaranteed interest on your holdings.
Regardless of whether the market reaches your target price, you will receive corresponding rewards or interest, which is usually higher than the traditional coin holding income.
3️⃣ Hedging income products (special)
1. Smart Arbitrage
An innovative hedging tool launched by Binance that allows users to earn funding fees by hedging perpetual futures and spot positions.
It is an automated strategy of "risk-free arbitrage" that takes advantage of positive funding rates to earn profits by simultaneously going long in one market (such as spot) and shorting another market (such as futures), thereby avoiding the risks brought by price fluctuations.
This kind of thing is used by hedge institutions in the traditional financial industry or some professional traders, but ordinary retail investors generally do not have access to such professional tools.
The existence of price differences is a common phenomenon, but ordinary people lack the ability to use price differences to arbitrage. Now Binance has directly packaged this tool into a product to empower ordinary investors, which is very good. If used properly, the profits can be considerable.
💰 Funds Security
Finally, fund security is also very important. Binance has multiple measures to ensure that user funds are safe and not lost:
1. User Asset Security Fund (SAFU):
User security is protected through the User Asset Security Fund (SAFU) and reserve proof, helping users recover assets lost due to security vulnerabilities.
2. BTC Merkle Tree:
The total amount of reserve asset certificates in the exchange is 575,742 BTC, which is 101% of the total user assets. Users can view all Binance reserve certificates in Coinbase.
3. Asset management scale
As the world's largest exchange, Binance has a relatively low risk of bankruptcy
✨ If you have not registered with Binance, or have not applied for a fee reduction (20%)
Invite link: https://www.binance.com/join?ref=U8TC8WJ2
Invite code: U8TC8WJ2
(It can help you save up to 20% of the handling fee, which means that for every 1,000 yuan transaction, you can get a 2 yuan cashback to your own account. Don't underestimate it, a little bit adds up to a lot~)
