Exchanges offer DeFi tools that work like a fixed-term bank, but with some advantages. How is the performance on Binance?
The The crypto economy is breaking out strongly in Argentina, with more than 5 million accounts enabled to operate with digital currencies. But they don’t just help you save, it’s also possible invest and earn an income.
Exchanges provide access to tools Yield farming (or yield farming). Consists participate in decentralized investment protocols (DeFi). to get rewards in two ways:
- Protocol incentives: read rewards or domestic interests of the project, which reward them for their “support”.
- Tokens to provide liquidity: The user receives native assets of the protocol they participate in
In short, it They lend funds to third parties and through programs called Smart contractsthe lender becomes the commission creditor.
How much can you earn if you invest $100,000 in a “fixed-term cryptocurrency” from Binance?
In the case of volatile currenciesi.e. those whose price can change abruptly against the dollar, Binance offers the opportunity to invest in them Bitcoinwith a 0.20% Annual Rate; And etherwith a performance of 1 % Per year.
In this way with 100,000 pesos would be acquired 0.003224 Bitcoins. Come on estimated returns in Bitcoin they are the following:
- 30 days: 0.000001 BTC
- 90 days: 0.000002 BTC
- 1 year: 0.000006 BTC
For his part with 100,000 pesos can be obtained 0.058882 ETH. In this case, projected returns for Ethereum they are the following:
- 1 week: 0.000011 ETH
- 30 days: 0.000048 ETH
- 90 days: 0.000145 ETH
- 1 year: 0.000592 ETH
In relation to “Crypto Dollar”Binance offers the opportunity to invest in stablecoins that are traded on a par with the greenback USDT, with an annual interest rate of 1.40%; And DAIwith an annual return of 5%.
Binance offers a 1.40% interest rate on USDT investments.
Therefore with 100,000 pesos would be acquired 112.52 USDT. Come on estimated returns in USDT are the following with their respective values in pesos at the current price:
- 1 week: 0.03 USDT ($26.85)
- 30 days: 0.13 USDT ($115.13)
- 90 days: 0.39 USDT ($345.80)
- 1 year: 1.59 USDT ($1,409.82)
Finally with 100,000 pesos can be obtained 112.52 DAI. In this case, projected returns for DAI are the following with their respective values in pesos at today’s price:
- 1 week: 0.11 DAI ($95.93)
- 30 days: 0.46 DAI ($411.78)
- 90 days: 1.40 DAI ($1,240.42)
- 1 year: 5.77 DAI ($5,126.75)
In Argentina, the central bank regulates interest rates, so the vast majority Companies offer an annual interest rate of 133%. Therefore, an investment of At $100,000, that leaves total capital plus income of:
- 30 days: $111,083.33
- 90 days: $137,071.36
- 1 year: $353,009.86
Although this profitability measured in pesos is higher than that of the 90-day USDT, The tools provide hedging against the exchange ratesince stablecoins follow the price of the greenback..
Furthermore, it is possible Exit at any time with the profit you have achieved so farin addition to the fact that these instruments use compound interestso that the profit made on one day is added to the next, thus achieving higher performance.
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