Binance, a leading cryptocurrency exchange, is set to introduce a new margin asset called LDUSDT, aimed at enhancing its futures trading platform. This innovative asset will be the second in the category of “reward-generating margin assets,” enabling users to leverage their locked USDT from Binance Earn while also earning passive rewards.
How Does LDUSDT Work?
With the current offerings, users could not utilize their locked USDT in Binance’s Simple Earn products for other activities. However, LDUSDT changes this dynamic by allowing the conversion of locked USDT into LDUSDT, making it available for use in futures trading while still accruing rewards through APR.
What Sets LDUSDT Apart?
LDUSDT stands out due to its direct integration with Binance’s Simple Earn products, eliminating the need for multiple transactions. This feature aims to address users’ liquidity needs while ensuring they can maintain passive earnings without compromising their capital.
Jeff Li, Binance’s Vice President of Product, highlighted that LDUSDT optimizes capital efficiency by permitting dual usage of assets for earning and trading. Users have the freedom to utilize these assets flexibly, adjusting them to fit various needs as required.
- LDUSDT allows trading and passive earnings simultaneously.
- It guarantees that users will not face negative APR.
- The asset aims to improve capital efficiency for users.
- Over 10 million individuals currently utilize Binance’s Earn products.
This strategic addition positions Binance to further cater to its growing user base, which has surpassed 250 million. By enabling more efficient trading options, LDUSDT could significantly impact how users engage with the platform’s features.
