The world’s leading cryptocurrency exchange Binance expands its users’ access to Decentralized Finance (DeFi) with its Liquid Swap. In this way, Binance presents new options, with which you can earn passive income, without exposing yourself to great risks of fluctuations.
The traditional cryptocurrency market, consisting of bettors on the rise (bulls) on the one hand and, on the other, those who opt for the low (bears). Thus, dozens of stories are known in which traders make large fortunes, while others suffer large losses from bad moves.
It is here where the Binance trading offer is presented as an alternative for those who do not want high emotions. It is no longer necessary, explains the portal on its blog, that people have to bet or speculate in the traditional way of trading. Nor should they go through the trauma of buying 75 different altcoins and waiting for one of them to succeed.
Liquid Swap is Binance’s latest crypto product
It should be noted that the launch of Liquid Swap by Binance, it was produced a few months ago, and is now being expanded considerably. The novelty, currently, is that a growing number of new cryptocurrencies have been added to choose. At the same time, the number of users has increased significantly.
In this way, explains the exchange on its blog, Liquid Swap has become one of the most popular financial products within Binance. But not only on this platform, but in the entire crypto ecosystem as a whole.
Another important piece of information highlighted by the publication is that, since Binance launched the Liquid Swap options, the way it expands has been exponential. From that date, October 3, 2020 to the present, the volume of trade on that platform amounts to more than $ 128 million dollars. This amount includes the use of all the stablecoins used in the project.
In parallel, the ecosystem of Decentralized Finance (DeFi), at the time of writing, contains a Total Blocked Value (TVL) equivalent to USD $ 20.2 billion.
What is it and how to generate income with this new product?
Along with the chances of earning passive income with Binance’s Liquid Swap, it should be noted that it is not a risk-free product. Like everything concerning trading with digital currencies and other assets, the possibility of having a hard time is always latent.
The important thing about this DeFi product is that the risk is very low compared to other options. Thus, Liquid Swap is a product that meets the needs of users and traders that require asset management.
First of all, the user must buy their tokens, with their local currency or with other tokens. You can then add them to the pool, that is, inject liquidity into the ecosystem. By doing that, according to the conditions of the chosen contract, you will receive commissions on your money.
It is one of the most used options currently in DeFi. It is similar to the system of earnings for commissions provided by traditional banking. However, the big difference is that, as the name implies, this other is a decentralized system that is not subject to trusted third parties.
Two ways to get money
With the Liquid Swap From Binance, there are two options that allow users to make a profit. The first of them is through trading. In that sense, bettors “can benefit from a smooth trading experience with instant trades and fewer slippages”, Highlights the portal.
The second way to generate profits is the aforementioned liquidity injection option to obtain passive income. With this, you can “earn trading profit and flexible interest”.
For a more in-depth understanding of how to use the Liquid Swap from Binance, it is advisable to visit the aforementioned article. Also, if you are new to the DeFi ecosystem and want to learn about this option from scratch, you can visit this link.
Data to take into consideration
- Since last October 3, Binance opened the options of Liquid Swap. Since then, the volume of trade with different tokens, is about $ 128 million.
- With this option, users will be able to inject liquidity into the different pools and benefit from commissions.
- Unlike traditional trading, there are no known risks of bear vs. bull battles.
- He Liquid Swap, is one of the favorite functions of Decentralized Finance or DeFi users.