The post Binance Unveils BFUSD: A Reward-Bearing Margin Asset with Promising APY Potential for Futures Traders appeared on BitcoinEthereumNews.com.

Binance has officially unveiled BFUSD, a new margin asset designed to offer users a unique way to earn passive rewards in the futures trading market. This innovative asset aims to combine trading advantages with the potential for earning, providing a fresh opportunity for futures traders seeking yield. According to a Binance representative, “BFUSD is designed as a margin asset for futures trading while also providing passive rewards,” highlighting its dual function in the marketplace. Discover Binance’s new BFUSD margin asset designed for passive rewards in futures trading, offering APYs between 12% and 47% during launch promotions. Introducing BFUSD: A New Player in Margin Trading On November 27, Binance will officially launch BFUSD, which it bills as a “reward-bearing margin asset.” This innovative financial instrument allows users to earn daily rewards simply by holding BFUSD or engaging in USDⓈ-Margined Futures trading activities. The product’s unique offering enables traders to benefit from passive income with an attractive Base APY ranging from approximately 12% to over 35%. Traders can unlock a higher Boosted APY based on their trading activities, ensuring the product aligns with the performance of the futures market. Understanding the Mechanics of BFUSD BFUSD’s underlying mechanics are grounded in delta hedging and funding fee strategies that appeal to both novice and experienced traders. The asset is designed to provide returns through two primary avenues: managing the risks associated with price fluctuations and executing effective hedging strategies. The Binance spokesperson explained that by delta hedging crypto assets between the spot and futures markets, BFUSD holders are positioned to collect funding fees, which can be a significant source of income in favorable market conditions. Potential Advantages and Unique Features of BFUSD BFUSD distinguishes itself from traditional stablecoins as it cannot be withdrawn or traded on the open market but serves exclusively as a…

---

Filed under: News - @ November 26, 2024 7:11 am