#BinanceEarn Previously, I thought Dual Investment was just another high-yield product similar to Locked Earn—only with a better interest rate. I saw numbers like 15–20% per year and took it as a deposit with a bonus.
But once I understood the mechanics, I realized it’s not a deposit. Dual Investment is built on selling an option: you agree to buy or sell an underlying asset at a predetermined price (strike price) on a specific date. The high return isn’t a “storage interest rate,” but a premium for the price risk you accept.
The outcome depends on where the asset price ends up on the execution date. If the market moves the wrong way, you may be “executed” at a worse price—and you’ll receive not the asset you wanted, but the one the product was supposed to protect you against.
Now I first look at the strike price and how close it is to the current price, not just the return number shown on top.
I haven’t tried it in practice yet—I want to test it with a small amount and see how it behaves during a real market move.
@Binance_Ukraine #BinanceEarn
But once I understood the mechanics, I realized it’s not a deposit. Dual Investment is built on selling an option: you agree to buy or sell an underlying asset at a predetermined price (strike price) on a specific date. The high return isn’t a “storage interest rate,” but a premium for the price risk you accept.
The outcome depends on where the asset price ends up on the execution date. If the market moves the wrong way, you may be “executed” at a worse price—and you’ll receive not the asset you wanted, but the one the product was supposed to protect you against.
Now I first look at the strike price and how close it is to the current price, not just the return number shown on top.
I haven’t tried it in practice yet—I want to test it with a small amount and see how it behaves during a real market move.
@Binance_Ukraine #BinanceEarn
