Dual Investment

When you deposit USDT or tokens, you provide liquidity to option buyers — you become an option seller:

  • Long (Buy Call Option) buyers need to borrow token liquidity from you to open their long positions.

  • Short (Buy Put Option) buyers need to borrow USDT liquidity from you to open their short positions.

  • As an LP (Liquidity Provider), you receive the premium they pay plus reward points.

Scenario 1: Deposit USDT to provide liquidity

What You do: You deposit USDT into a Dual Investment Vault when your market view for a token is bullish or neutral (consolidating).

Yield sources (reflected in APY):

  • Premiums paid by option buyers (guaranteed premium income, but floating value)

  • Daily points rewards (Points rewards may vary due to official events/campaigns; please refer to the latest display on the leaderboard.)

Asset outcomes at maturity:

  • 📈 MarketPrice > Strike Price → You keep USDT + premium

  • 📉 Market Price < Strike Price → Your USDT is converted into tokens at the Strike Price (Effectively, you are buying the token at the Strike Price) + premium

Conceptual understanding: You are providing liquidity for put options. If the market price falls below the strike price, your USDT will be converted into tokens at the strike price.

Risk disclosure: You are exchanging the risk of “token price declining” for “guaranteed premium income.” If the token price drops significantly, you still earn premiums, but your USDT buys tokens at a price above market, bearing all downside.

However, if you are bullish on the token's long-term prospects, this is equivalent to utilizing the Dual Investment Vault’s mechanism to "buy the dip" at the Strike Price when the price falls.

Scenario 2: Deposit Tokens to provide liquidity

What You do: You deposit the token into the Vault when your market view for a token is bearish or neutral (consolidating).

Yield sources (reflected in APY):

  • Premiums paid by option buyers (guaranteed premium income, but floating value)

  • Daily points rewards (Points rewards may vary due to official events/campaigns; please refer to the latest display on the leaderboard.)

Asset outcomes at maturity:

  • 📈Market Price > Strike Price → Your tokens convert into USDT at Strike Price (Effectively, you are selling the token at the Strike Price) + premium

  • 📉 Market Price < Strike Price → You keep your tokens + premium

Conceptual understanding: You are providing liquidity to call options. If the market rises, your Tokens will be converted into USDT at the strike price.

Risk disclosure: You lock in premium income at the cost of giving up upside beyond the Strike Price. Your risk is opportunity cost. However, if you consider the Strike Price a satisfactory exit price, you are effectively utilizing the Dual Investment Vault’s mechanism to pre-set a "Take Profit" selling price for your token.

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