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FAQ — Dual Asset 2.0
2024-08-09 11:41:03
2024-08-09 11:41:03Only users with individual KYC Lv. 1 or Lv. 2 can trade or stake Earn products. For more information, please refer to FAQ — Individual KYC. Do note that users with Business Identity Verification are also able to purchase this product.
What is Dual Asset 2.0?
Dual Asset 2.0 is a short-term trading tool for facilitating your investment journey with higher returns and greater flexibility. It allows you to capitalize on price movements in the market by predicting the direction of a given crypto asset within a predetermined time frame, while enjoying higher returns on your capital.
You may select from a variety of trading pairs, duration and Target Price, customized to your trading preferences and risk appetite. For more information, please refer to Introduction to Dual Asset 2.0.
How are returns for Dual Asset 2.0 products generated?
We plan to deploy subscribed assets to the Bybit Derivatives market via advanced strategies. The assets will be managed by trusted third parties, which might include entities there are affiliated with Bybit. No on-chain activity is involved in the yield generation process.
What are Settlement Price and Target Price?
Settlement Price: The average of the Bybit Spot market price in the 30 minutes prior to Settlement Time, which is 8AM UTC on the Settlement Date.
Target Price: The price at which you wish to buy or sell crypto.
Is the profit guaranteed?
The APY is guaranteed. However, the returns in asset value are not guaranteed, due to market volatility.
On the Settlement Date, you’ll receive your return in either stablecoins (USDT) or your subscribed crypto asset type, depending upon whether the Settlement Price reaches the Target Price.
Is Dual Asset 2.0 the product right for me?
Dual Asset 2.0 might be a good fit for you if you want to
— Take profit: Sell your crypto at a Target Price to realize profits while benefiting from additional interest yield.
— Buy the dip: Buy crypto at a desired Target Price, and enjoy additional interest yield.
— Earn passive crypto income: Gain higher interest on your crypto holdings while passively growing your portfolio.
Are there any risks associated with Dual Asset 2.0?
Dual Asset 2.0 is not a risk-free investment.
- Due to unpredictable market price fluctuations, there’s uncertainty as to which coin will be settled.
- Due to market volatility, the returns on asset value aren’t guaranteed.
- Subscribed assets are locked, which means you can’t cancel or redeem your plan before the Settlement Date.
- In the event that the market price moves further away from the Target Price, you may lose the opportunity to buy or sell at a favorable price.
- The trade can only take place based on the price on the Settlement Date.
Please read through the terms carefully before investing. Bybit does not assume responsibility for any losses incurred as a result of price fluctuations.
Which coin can I use to subscribe to the Dual Asset 2.0 plan?
For the Buy Low product, you can subscribe using stablecoin (USDT), while for the Sell High product, you can subscribe using the crypto assets (such as BTC, ETH).
Is there a minimum subscription limit?
Yes. The minimum subscription amount will be indicated in the order zone under the Invested Amount.
What types of Dual Asset 2.0 products can I purchase?
There are two types of products under Dual Asset 2.0: Buy Low and Sell High. You can choose from short-term deposit periods of 1, 3 and 5 days.
When will my order take effect?
Your plan status will usually be confirmed within 30–60 seconds after you submit your order. Once the subscription is successful, your return will begin to be calculated. In the case of a 3-day plan, your order will be settled three (3) days later (8AM UTC on the Settlement Date).
Can I edit or early redeem my Dual Asset 2.0 subscription?
Once the subscription is confirmed, you cannot modify your Target Price, Investment Amount or Settlement Date. Likewise, you cannot redeem your Dual Asset 2.0 subscription before the Settlement Date.
Is my return calculated based on the APY displayed when I purchase the plan?
Yes. The APY displayed at the time of purchase will be used to calculate your return.
How are the returns calculated?
Returns in Dual Asset 2.0 comprise two components: Interest Income and Subscription Amount. Your returns will depend upon whether the Target Price has been reached.
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For more information, please refer to Introduction to Dual Asset 2.0.
When and how can I receive my return?
Each confirmed Dual Asset 2.0 subscription has a Settlement Time, which is 8AM UTC on the Settlement Date. Within 30 minutes of Settlement Time, returns from your Dual Asset subscription will be credited back to your Funding Account.
Why is my return less than my initial investment amount (in USDT) ?
Traders may have the impression that the value returned by the coin — if converted at the Settlement Price — may be less than the value of the initial investment amount. The value of coins (when measured in USDT) is not guaranteed due to potential price fluctuations of the assets.
Let's look at the following examples:
Example 1
Trader A purchases a Buy Low ETH-USDT plan at 80% APY, Target Price at 1,200 USDT and their invested amount is 1,000 USDT. On the Settlement Date, the Target Price is reached (Settlement Price: 1,100 ≤ Target Price), and the ETH will be purchased at the Target Price with their subscription coin (USDT) and interest income. The return they received will be 0.8351 ETH.
In this scenario, Trader A may believe they lost money from Dual Asset if they used the settlement price to calculate the USDT value of the ETH return (0.8351 x 1,100 = 918.61 USDT) and compare it to the initial deposit amount (1,000 USDT). However, if Trader A had used 1,000 USDT to buy ETH at the Target Price 1,200 USDT, they would have received only 0.83 ETH — while the return they got from Dual Asset is 0.8351 ETH. Even though the Settlement Price went below the Target Price, Trader A managed to secure more ETH coins than they originally had.
Example 2
Trader B purchases a Sell High ETH-USDT plan at 80% APY, Target Price at 1,200 USDT and their invested amount is 1 ETH. On the Settlement Date, the Target Price is reached (Settlement Price: 1,300 ≥ Target Price), and the ETH and interest income will be sold at the Target Price, and they receive USDT in return. The return they received will be 1,202.6301 USDT.
In this scenario, Trader B may believe they lost money by participating in Dual Asset if they used the Settlement Price to compare the USDT they’d have earned (1,300 USDT) if they’d sold off their ETH on the settlement day — while the return they got from Dual Asset is 1,202.6301 USDT. However, if Trader B had sold off their ETH at the Target Price 1,200 USDT, they would have received only 1,200 USDT — while the return they got from Dual Asset is 1,202.6301 USDT.
How can I withdraw my yield?
Dual Asset returns will be credited to your Funding Account. Please make a transfer from your Earn Account → Spot Account before proceeding with your withdrawal.
Can I purchase Dual Asset 2.0 products using Subaccounts?
Yes, you can purchase Dual Asset 2.0 products using subaccounts.
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