This announcement from Binance regarding the inclusion of Toncoin (TON), Notcoin (NOT), and Dogs (DOGS) in Binance Dual Investment presents several key points that deserve critical analysis:
Key Features:
1. New Tokens Added: TON, NOT, and DOGS are now part of Binance Dual Investment, enabling users to earn by trading these cryptocurrencies paired with stablecoins (USDT, USDC).
2. Target Price Strategy: Users can choose from multiple target prices to either "buy low" or "sell high," benefiting from the price fluctuations of these assets.
3. Settlement Date: Payouts or settlements occur weekly, every Friday at 08:00 (UTC).
4. High APR: The advertised APR is 15% or more, which appears highly attractive for investors seeking passive income.
Critical Analysis:
1. Token Legitimacy: While TON is a well-known project associated with the Telegram Open Network, there is little to no information on NOT and DOGS. These lesser-known tokens could pose a higher risk due to their lack of visibility and credibility in the market. It's essential for investors to research these coins thoroughly before committing funds.
2. High Returns, High Risks: The 15%+ APR offered is enticing, but such high returns often come with higher risks. Dual investment strategies rely heavily on market volatility, and potential investors need to be aware that this isn't a risk-free proposition.
3. Complexity for Novices: The dual investment mechanism (earnings based on predefined target prices) might be difficult for inexperienced traders to navigate. There is a risk of misunderstanding the strategy, leading to unexpected losses.
4. Settlement Frequency: Weekly settlement provides liquidity, but it also creates short-term volatility risks. If the target price isnât met by Friday, the user might miss out on profits or be forced to sell at a loss.
5. Regulatory Disclaimer: The disclaimer concerning USDC, issued by Circle, provides important legal information about redemption and consumer rights. Itâs a positive step toward transparency, but the responsibility is still on users to be aware of the regulatory environment in their region.
Conclusion:
While Binance Dual Investment presents a potentially lucrative opportunity with the addition of new tokens, it is important to recognize the risks involved. The high returns should be balanced against the volatility and possible lack of liquidity or legitimacy of lesser-known tokens like NOT and DOGS. Investors should approach this with caution and only invest amounts they are willing to risk.
note... keep in minds its just my own analysis
