Summary
Dual Currency Investment earns you interest regardless of market direction.
With Buy Low Dual Currency Investment, you can buy cryptocurrencies at a lower price in the future and earn interest.
With “Sell High Dual Currency Investment”, you can sell your cryptocurrency at a higher price in the future and earn interest.
If the target price is reached, your deposit will be used to buy or sell cryptocurrencies. If it is not reached, your deposit and interest earnings will be returned.
You can use the automatic reinvestment function to reinvest earnings and carry forward positions.
Introduction
As we all know, to get a return on your investment, you need to buy low and sell high. Cryptocurrency is no exception. Binance Dual Investing provides a great way to take advantage of opportunities to buy low and sell high, while also providing you with additional returns. Let's take a deeper look at how it works and how you can get started.
Main advantages of Binance Dual Currency Investment
Binance Dual Coin Investment provides users with four main advantages:
Buy low or sell high: Dual Currency Investment allows you to buy cryptocurrencies at a lower price or sell them at a higher price.
High Interest: You can earn high passive income regardless of market trends.
Wide selection: You can choose from a variety of assets to invest in, and set your own delivery date and target price.
Zero transaction fees: You can buy and sell orders as long as the target price is reached, and Binance does not charge any transaction fees.
How does Dual Currency Investment work?
Binance Dual Investing provides users with an excellent opportunity to buy cryptocurrencies at a lower price or sell them at a higher price in the future. Through it, users can also earn high interest income during the subscription period regardless of market trends. For many users, Dual Investing provides an alternative to spot trading on the Binance exchange platform with limit orders.
Dual Currency Investment Products are divided into two categories: Buy Low and Sell High.
Buy low products give you the opportunity to buy your favorite cryptocurrency at a lower price in the future. Sell high products give you the opportunity to sell your current cryptocurrency at a higher price in the future.
Buy Low Dual Currency Investment
Two reasons to use Dual Currency Investment:
1. Use your current stablecoin holdings to buy cryptocurrencies at your desired price on a desired date and earn extra income.
2. Accumulate more stablecoins through interest income.
Sell High Dual Currency Investment
Similarly, the high-sell dual-currency investment product also provides two major use cases:
1. Sell your current cryptocurrency holdings at your desired price on the desired date and earn extra income.
2. Accumulate more cryptocurrencies through interest income.
Trading straregy
Buy low and sell high can easily be used in many different trading strategies. Be sure to check out the LINK guide for advice on the top dual-coin investment strategies. These six techniques can maximize returns and meet your investment needs.
Key Dual Currency Investment Terms
Before we get into how these products work, let’s first understand some technical terms:
1. Subscription Amount: the amount deposited when subscribing to Dual Currency Investment.
2. Target price: The buying and selling price of cryptocurrency set by the user.
3. Settlement Date: The date set by the user for buying or selling cryptocurrencies. Investment income will be credited to the account on this date. 08:00 (UTC) is the checkpoint to determine whether the target price has been reached.
4. Settlement price: The average market price 30 minutes before 08:00 (UTC) on the settlement date. The settlement price and target price determine whether to buy low or sell high.
5. Annual Percentage Yield (APY): The interest that users can earn by locking their cryptocurrency in the dual-currency investment product for one year. For example, if the annual percentage rate is 36.5%, the daily effective yield is approximately 36.5% / 365 days = 0.1%.
6. The number of days from the subscription date to the settlement date during the subscription period.
How to apply for Dual Currency Investment?
Using Binance Dual Currency Investment is simple once you are familiar with how the product works. Follow these simple steps to apply for Dual Currency Investment.
1. Visit the dual currency investment page.
2. Select the cryptocurrency you want to buy or sell.
3. If this is your first time using this product, please complete the Dual Currency Investment Quiz.
4. Decide to buy low or sell high.
5. Select a target price and settlement date.
6. Enter your subscription amount, agree to our terms, and click [Subscribe].
7. You are all set! Your funds will be settled within 6 hours after the checkpoint time (08:00 UTC) on the settlement day. Visit the Dual Currency Investment History page to view previous orders.
Beginner Mode
If you are not familiar with dual currency investment, you can select "Beginner Mode" by switching the button. The step-by-step guide of the beginner mode will guide you through the entire subscription process.
Once you are familiar with Dual Currency Investment, you can click the same toggle button to turn off the beginner mode and enjoy the advanced features of the platform.
How is the profit calculated?
Dual Currency Investment has two major return components: interest income and subscription amount. Your return will vary depending on whether the target price is reached.
Let's first understand how interest income is calculated. Interest income is calculated using the following formula:
Interest income = subscription amount * annual yield % * subscription period days / 365
For a buy-low dual currency investment, two situations may occur.
1) When the target price is reached on the settlement date (i.e. the price is equal to or lower than the target price):
a) Your subscription amount and interest income will be used to purchase cryptocurrencies at the target price.
b) Formula: (Subscription amount + interest income) / target price
2) When the target price is not reached on the settlement date:
a) You receive the subscription amount and interest income without any conversion.
b) Formula: Subscription amount + interest income
For high-selling dual-currency investments, two situations may also occur.
1) When the target price is reached on the settlement date (i.e. the price is equal to or higher than the target price):
a) Your subscription amount and interest income will be used to sell the cryptocurrency at the target price.
b) Formula: (Subscription amount + interest income) * target price
2) When the target price is not reached on the settlement date:
a) You receive the subscription amount and interest income without any conversion.
b) Formula: Subscription amount + interest income
On each settlement day, Binance uses 08:00 (UTC) as a checkpoint to determine whether the settlement price reaches the target price. Settlement price: the average market price 30 minutes before 08:00 (UTC) on the settlement day. Your funds will be returned within 6 hours after the settlement day checkpoint time (08:00, UTC time).
How to automatically reinvest dual currency investment returns
A common investment strategy is to reinvest earnings to increase returns. Dual Currency Investment can automate this process for you through the Auto-Reinvest feature.
On the settlement date of any open Dual Currency Investment position, you can automatically re-subscribe for a new position, and the settlement date will be the next valid settlement date.
The settlement date for Bitcoin and Ethereum is every Tuesday and Friday. The settlement date for other digital assets is every Friday. 30 minutes before the settlement date, you can choose to turn on/off the automatic reinvestment function.
There are two types of automatic reinvestment plans for you to choose from:
1. Basic plan
If the target price is reached, automatic reinvestment will stop. The system will close the position and distribute the profits.
If the target price is not reached, the automatic reinvestment will continue. The system will automatically purchase new positions and settle them on the next effective settlement date until the target price is reached.
Imagine that if the current high sell target price is not reached, your funds will be automatically reinvested into the new high sell position on the settlement date. If the target price is reached, the automatic reinvestment function of Dual Currency Investment will stop.
2. Premium Plan
If the target price is reached, the system will automatically apply for a new position and perform a reverse settlement on the next valid settlement date.
If the target price is not reached, the system will automatically purchase a new position and settle in the same direction on the next effective settlement date. For example, if you purchase a high-sell product but the target price is not reached, the automatic reinvestment will open a new high-sell position for you.
In our example, if the current Sell High Target Price is reached, Dual Currency Investment will open a new Buy Low position and settle on the next valid settlement date. If the target price is not reached, your funds will be automatically reinvested into a new Sell High position on the settlement date.
Summarize
Binance Dual Investing is a great way to earn passive income regardless of how the market trends. If you’re an investor or trader with a Binance account who wants to do more than just stake or lend your long-term holdings, Dual Investing could be a great way to diversify.
You can monetize your market view and try to hedge above-market prices with the added interest through the security of Binance products. As always, please do your own research on Binance Dual Currency Investment before committing funds.
