What if you could get paid today for agreeing to a possible future conversion?

That's the basic idea behind Dual Investment.

Instead of simply buying or selling an asset at the current price, you choose a market with a strike price and maturity.

Then there are two possible outcomes.

If the condition isn't triggered:

→ you keep the original asset
→ and receive the premium

If the condition is triggered:

→ the asset is converted according to the agreed strike
→ and the premium is part of the return.

So the trade-off is pretty clear:

higher potential yield in exchange for accepting a predefined conversion scenario.

I like this structure because it makes the decision explicit.

You're not just asking:

“What's the APY?”

You're asking:

“Am I comfortable with this strike price at this maturity?”

That is a much more useful question.

#termmax @TermMax