Dual Investment

There are many different reasons why you may decide to use Dual Investment. Some of the most common scenarios include:

Take profit: Sell your crypto holding at a Target Price to realize some of your gains while benefiting from additional rewards;

Buy the dips: Buy crypto at a Target Price when the market is down, and enjoy additional rewards;

Grow more crypto: You have crypto and want to earn additional returns while holding onto them.

Grow more stablecoin: You have stablecoins and want to earn additional returns while holding onto them."

Example: If the target price for a BTC product is 60,000, the interest rate is 5%, and the user invests 2 BTC, the repayment at expiration is: (1) BTC expiration date price < 60,000, user income: 2 * (1 + 5%) = 2.1 BTC (2) BTC expiration date price ≥ 60,000, user income: 2 * 60,000 * (1 + 5%) = 126,000 USDT

(1) BTC Price at Expiry < 60,000, returns of the user shall be: 2 * (1 + 5%) = 2.1 BTC

(2) BTC Price at Expiry ≥ 60,000,returns of the user shall be: 2 * 60,000 * (1 + 5%) = 126,000 USDT

In Buy Low mode ( For example invest in USDT), then the payment to you is determined by the following rules:

Example: If the target price of BTC-U product is 40,000 and the Term Rate is 5%, and the user has invested 100,000 USDT, then the Settlement Amount received by the user at Expiry date is:

(1) BTC Price at Expiry > 40,000, returns of the user shall be: 100,000 * (1 + 5%) = 105,000 USDT

(2) BTC Price at Expiry ≤ 40,000,returns of the user shall be: 100,000 / 40,000 * (1 + 5%) = 2.625 BTC

* Note: The above Price at Expiry refer to the average price of the BTC (or ETH) index from 15:00 (HKT) to 16:00 (HKT) on the product expiration date.

There are risks involved with Dual Investment.

-Subscribed assets are locked and you won’t be able to cancel or redeem them before the Settlement Date.

- If the price moves further away from the Target Price, you end up losing the opportunity to buy or sell at a more favorable price.

- The trade can only happen based on the price on the Settlement Date.

* Please note that Dual Investment is not a risk-free investment. Please read through the product terms carefully before making your subscription. Hotcoin is not liable for any losses incurred from price fluctuations.

Subscription Amount:

Target Price:Target price means the benchmark price that is used to compare the Price at Expiry when the product matures to determine the final Settlement Currency.

Price at Expiry:Price at Expiry means the averaged index price for BTC or ETH available on Hotcoin platform between 15:00 (HKT) ~ 16:00 (HKT), which is one hour before the Expiration Time of the Dual Investment Products at 16:00 (HKT).

Deposit Currency:The currency you used to subscribe to a Dual Investment product.

Settlement Currency:Settlement Currency means the type of Digital Asset currency you will actually receive upon settlement when the product matures. The Settlement Currency depends on the comparison between the Price at Expiry and the Target Price when the product matures.

Term:Term means the number of days from the successful purchase of the product to the product's expiration time.

APR:APR means the estimate annualized rate of return (APY), which is used to calculate the product's Term Rate.Once the subscription is successful, APR will be fixed.

Term Rate:Term Rate means the absolute rate of return for the product derived from the Rate (APY). The calculation formula is: Term Rate = Est. Rate (APY) / 365 * Term