Based on Boss Kong's foundation, let's make a slight adjustment. Why does the #Binance Booster's financial product sell out quickly at only 6%? I'm not sure if this refers to Bitway, but if it does, Bitway's actual annualized return is 31%, which includes 5% annualized return in USDT and 26.07% return in $BTW, with a total limit of only $20 million.
If it really is just 6%, I believe there would still be participants, after all, we saw that when RWUSD had only a 3.56% annual interest rate, there was still a lot of capital involved. However, in the Booster, there are also many financial products offering 8% to 10%, so why is the participation rate and volume so low?
From my personal experience, activities within exchanges, even with lower yields, still attract a lot of capital. The main reason is safety; financial products within exchanges are generally capital-protected, while on-chain financial products, even those in wallets, often do not bear risks.
Only when there are extremely high returns will capital be willing to take risks, especially in projects that issue tokens. There are indeed funds that, after doing simple due diligence, will deposit, hoping for significant price increases after the token issuance. The last hot project was Zerobase.
This is also why there are a bunch of on-chain financial products offering 8% to 15% that rarely attract participants unless backed by well-known institutions. Safety outweighs everything.
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