Six Highly Effective Dual Currency Investment Strategies

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For users looking to diversify their investments, dual-currency investing is a more advanced way to make money, allowing you to buy or sell cryptocurrencies at a desired price at a desired date in the future. No matter what the market is doing, you can earn high interest income.

So now that we have the basic concepts down, how do we start making money? There are actually many ways to use dual currency investing. Each method can complement your trading strategy and adapt to different predictions of the market. In the following articles, we’ll dive into several investing strategies.

obtain benefits

buy on dips

Buying on dips is a common trading strategy when the market is not going well. You can take advantage of market downturns and buy cryptocurrencies at lower prices. As the market recovers, you have the opportunity to sell at a profit. With dual-currency investing, you can not only plan for potential future declines but also earn additional interest income. This strategy helps you flexibly respond to market fluctuations and achieve better investment returns.

1. Choose low-buy dual-currency investment products. In this example, we will look at the Bitcoin products that can be purchased with Tether (USDT). Bitcoin’s current price is $51,959.

2. We set the target price of Bitcoin to $45,000, and the settlement date is one week.

3. If on the settlement date, the market price is $45,000 or lower, then Bitcoin will be bought at the target price. You will also receive interest earned. ​

4. If your target price ($45,000) is not reached on the settlement day, you can still earn APY through the deposited USDT before withdrawing it.

Grow your long-term cryptocurrency holdings

When investing in dual currencies, you don’t need to keep an eye on market movements. In fact, even if prices remain relatively stable or don't reach your target price, you can still take advantage of this investment product. Our goal is simply to earn interest returns on cryptocurrencies.

1. Choose high-selling dual-currency investment products. In this example, we will look at the Bitcoin product. The current price of Bitcoin is $51,959.

2. We set the target price of Bitcoin to $53,000, and the settlement date is one week.

3. In order to easily earn APY, we hope that the price of Bitcoin remains stable or falls and does not meet the target price.

4. On the settlement date, the price of Bitcoin is $50,000. This means you keep the Bitcoins you top up and get all the interest earned. This makes it easy to earn high interest by holding cryptocurrencies.

Increase your stablecoin storage

Many people hold stablecoins in order to keep their earnings within the blockchain ecosystem. However, that doesn’t mean we can’t make money from it. Similar to the previous strategy, we don't have to pursue reaching a target price either.

1. Apply for low-price dual-currency investment products. In this example, let’s say the MATIC product was purchased with USDT. The current price of MATIC is $1.20.

2. We set the target price of MATIC to $1.10, and the settlement date is one week.

3. In order to earn stablecoin APY, we hope that the price of MATIC remains stable or rises, and the target price cannot be reached.

4. On the settlement date, the price of MATIC is $1.22. This means you keep the USDT you deposit and receive interest on the stablecoins earned from it. This makes it easy to earn high interest by holding cryptocurrencies.

Compound interest in short-term volatile markets

The four strategies above provide easy ways to earn interest and buy or sell at preset prices based on your strategy. However, we also have the opportunity to make more advanced dual-currency investments.

Investing inherently carries risks. This strategy is suitable for experienced investors who are comfortable navigating volatile markets. We can use this method to predict market volatility, but it is inconclusive whether the market is bullish or bearish.

To take advantage of this situation we need to choose a buy low and sell high combination.

1. Select the high-selling dual-currency investment product in Binance Finance. In this case, we take the Binance Coin product as an example. The current price of Binance Coin is $359.

2. We set the target price of Binance Coin at $380, and the settlement date is one week.

3. The market is volatile, which means there are two possible outcomes. ​

If the target price is not reached, you keep the Binance Coins and the interest earned. You can create a new high sell order to earn more interest or sell at a higher price. ​
If the target price is reached, you will sell Binance Coin at $420 per unit and earn interest.

4. Whenever the target price is reached, please reverse the selection of dual-currency investment products. If the target price is not reached, continue choosing the same direction until the target price is reached. ​

5. By operating the market this way, you can continue to buy low and sell high while increasing your returns.

Two-way position

Our final strategy is similar to the previous one, but in this case we open two positions at the same time. To do this, you need to hold two types of tokens: one is a cryptocurrency (like Binance Coin), and the other is a stablecoin (like USDT). If the current price of Binance Coin is $390.

1. Use Binance Coin to subscribe for the high-selling Binance Coin dual-currency investment product with a target price of $420, and the settlement date is one week.
2. Use USDT to subscribe for Binance Coin dual-currency investment products at low prices. Set your target price at $360, with a settlement date of one week.

Market volatility can lead to three possible outcomes:

The price targets for both positions were not reached, with prices remaining between $360 and $420. In this case, you will keep the Binance Coin and USDT you originally deposited, as well as the interest earned in both currencies. ​

The price of Binance Coin reaches $420 or above, which means the target price for high sell positions is reached. Your Binance Coin and accumulated interest will be sold for $420 per unit, and you will also keep the deposited buy-low USDT, as well as the interest earned. In summary, you can profit from selling Binance Coin and accumulate interest on USDT.

The price of Binance Coin reaches $360 or below, which means the target price for buy-low positions is reached. You will buy Binance Coin at the desired price and earn interest, and you will also keep the top-sold Binance Coin you deposited, along with the interest earned. In short, you can buy Binance Coin at a lower price while also accumulating interest on Binance Coin.