Hidden cost of a high APR in Dual-Asset investments
The Dual Investment (Dual-Asset Investments) product in the Earn system is often very appealing thanks to high yield rates. But it is far from a risk-free deposit.
The essence of the risk lies in the execution mechanism itself. You are effectively betting on what the asset’s price will be in the future.
If you subscribed to the “Sell High” strategy and the coin’s price sharply surged far beyond your target, your asset will still be sold at the target price (which will already be lower than the market price). You will receive your interest payments as guaranteed, but you will give up part of the potential profit from that strong growth.
Before subscribing, always ask yourself:
1. Am I ready to part with the asset at the selected price if the market moves higher?
2. Does the lock-up until the settlement date suit me?
This is a tool for disciplined profit-taking, not just a button for passive income.
#BinanceEarn
The Dual Investment (Dual-Asset Investments) product in the Earn system is often very appealing thanks to high yield rates. But it is far from a risk-free deposit.
The essence of the risk lies in the execution mechanism itself. You are effectively betting on what the asset’s price will be in the future.
If you subscribed to the “Sell High” strategy and the coin’s price sharply surged far beyond your target, your asset will still be sold at the target price (which will already be lower than the market price). You will receive your interest payments as guaranteed, but you will give up part of the potential profit from that strong growth.
Before subscribing, always ask yourself:
1. Am I ready to part with the asset at the selected price if the market moves higher?
2. Does the lock-up until the settlement date suit me?
This is a tool for disciplined profit-taking, not just a button for passive income.
#BinanceEarn