Hello everyone! Today we will talk about Binance, a well-known trading platform opened in 2017, which offer its users a vast variety of products, including but not limited to trading and leveraged-trading.
What is BINANCE Earn?
Binance Earn is a program created by Binance which aims to provide the best tools to earn passively using the same platform for every transaction. There have been many products added later, I'm gonna write them in a chronological order:
-Binance Savings
-Binance Staking
-Pool Savings (Double Savings)
-Defi (Liquidity Pool)
Let's understand every pro and con of those earning methods, as well as the risks associated.
Binance Savings
Binance Savings is a tool that lets you earn through loans managed by Binance to leveraged traders who need collateral to proceed any further.
This is a low-risk earning method with a percentage of 10% ca. and up to 16-20%. It is quite safe as you will never have losses in the future.
We have locked savings with higher percentages but locked, and then flexible savings, withdrawable anytime if needed.
Binance Staking
The substance is similar to Binance Savings, also here we have flexible staking and locked staking, with percentages up to 12%/year. This is a less safe method as it's more subject to market fluctuations because of the use of altcoins. I personally never tried it as I do staking on other platforms (won't mention them here, wait for a new post).
Binance Pool - Double Savings
This is a brand new (and weird) earning method invented by Binance. Based on the future value of Bitcoin, every lender is paid in BTC if the value is lower and in Stablecoin if the value is higher. It is an odd method to attract new users and customers, but it worked amazingly! Those types of loans is sold out every time (they put a limit on this type of loan, as it has a higher APY than the other types of loans available). We're talking of percentages up to 30%/year. There is a little risk more related to the price of Bitcoin (or every other cryptocurrency you invest in).
DeFi - Liquidity Pool
This is the latest Binance Earn product created by Binance. This time we have percentages up to 50% and sometimes also higher (the first day of ETH/USDT pair the percentage was 270%). This earning method has a risk mainly based on the market fluctuations + the liquidity into the pool that could cause a loss if a big sum is deducted from the pool.
This is the best earning method for someone that can take some risks to earn even higher.
We finished also this time! Thanks for reading, I hope this was informative enough. Bye!
This blog article is not intended to give a financial consult/advice, as it's not an investment suggestion. Funds are always at risk, invest what you can afford to lose. Research before investing, don't trust anyone out of yourself.
