BitOffer Institute: Dual-Currency, A Thing Fixes the Bitcoin Plummet

3 min readFeb 25, 2021

In 2009, the first Bitcoin, a kind of currency based on Blockchain, was mined. Since then, the legend of Bitcoin started, and now the gain of Bitcoin has already surpassed 10 million times. Being put into a part of the portfolio by institutions made it become a bullish consensus.

The development of the Cryptocurrency industry is rapid. Besides the spot trading, leveraged tradings such as futures and options, more and more Bitcoin derivatives came out. The investments turned into being diversified. However, even the truth is that Bitcoin owns the most significant value growth, its volatility still keeps many investors outside.

On February 22nd, 2021, Bitcoin reached a fresh ATH at $58,326, then began a hard correction which made Bitcoin dropped down by more than $13,000 (-20%) within 2 days. Such a fluctuation always comments a “NEVER” to investors’ yield on Bitcoin.

Being under this puzzle, a wealth management product named Dual-Currency was launched by BitOffer. The pattern of Dual-Currency makes one investment be able to receive two kinds of assets as return help many investors achieve an annualized yield that is up to 1,000%. As Dual-Currency help investors gain stable return either the market is bullish or bearish, investors finally have a way out to follow the bull run and avoid bearing the risk of Bitcoin being volatile at the same time.

Dual-Currency is a Bitcoin derivative that fits long-term investors such as miners and institutions. Essentially, Dual-Currency is simple wealth management based on Options trading. The type of earnings is decided by the “Linked Price”. In this way, investors can be promised they can earn fixed profits from one kind of assets. Taking investing USDT in Dual-Currency as the example, when the Bitcoin price while the settlement is higher than the “Linked Price” when you invest in, your profits will be returned in USDT. If lower, then your profits will be returned in BTC.

The shortest tenor of Dual-Currency on BitOffer is 1-DAY. Investors can choose the “Linked Price” and the settlement date as their preference. If you choose to invest in a 1-DAY Dual Currency, and we assume that the yield is 1%, then you would already book a 1% profit at 16:00 in the next day.

For example, now the Bitcoin price is $52,000, and we choose the one of which Linked Price is $50,000, the tenor is 1-DAY, and the annualized yield is 1%,

A. If we invest in USDT, that means we expect the market to be bullish, then when the Bitcoin price is more than $50,000, we would get 1% profits in USDT.

B. If we invest in BTC, that means we expect the market to be bearish, then when the Bitcoin price is less than $50,000, we would get 1% profits in BTC.

“Earning USDT while a bullish market, earning BTC while a bearish market.” — the most fabulous feature of Dual-Currency.

To list a more detailed example:

Tom invests 10,000 USDT in a 1-DAY USDT Dual-Currency of which Linked Price is $50,000, and the APY is 1%.

When the settlement date comes,

If the Bitcoin price is higher than $50,000, then the return would be in USDT. Thus, Tom will get 10,000*(1+1%)=10100 USDT.

If the Bitcoin price is $49,500, which is lower than $50,000, then the return would be in BTC. Thus, Tom will get (10,000/50,000)*(1+1%)=0.202 BTC.

Tips for Dual-Currency on BitOffer: Setting a long-term investment of which Linked Price is extremely high.

In this way, the settlement price is always lower than the Linked Price. Therefore, most of the time, investors will get BTC back. In the long run, if the price of Bitcoin keeps presenting a stable increase, and investors’ holding bitcoins add, investors would have a huge profit imagination under such a compound pattern.

The normal investors who only buy Bitcoin will swear their holding bitcoins to stay at a constant number. Comparing with the investors who invest in Dual-Currency, the investors who only HODL are difficult to gain a much higher growth. In the near future, more and more institutions will also take Dual-Currency as one of their choices in Bitcoin derivatives to increase the return but still being able to avoid the risk.