The benefits of a DCN are the ability to earn a higher yield than is available in your Ledn BTC Growth or USDC Savings Accounts and gain advantage from your market view on BTC.
- By picking future BTC prices at which you’d be happy to buy or sell BTC, you’re able to automate your outlook and either sell at a higher price or buy at a lower price than the existing one when you took your DCN.
- Regardless of the outcome, you’ll earn a yield that is higher than what’s available in the Ledn BTC Growth or USDC Savings Accounts, helping you build passive income.
There are risks associated with selling, buying or holding digital assets or entering into a DCN transaction with Ledn. You should understand these risks involved before taking a DCN. Some of the risks associated with a DCN are:
- The amount of BTC or USD you used to take your DCN are locked for the duration of your DCN.
- For a BTC to USD DCN, if the BTC Price at maturity is above the Strike Price, you’ll sell your BTC at a price that’s lower than the BTC Price at maturity.
- For a USD to BTC DCN, if the BTC Price at maturity is below the Strike Price, you’ll purchase BTC at a price that’s higher than theBTC Price at maturity.
For more information, please carefully review the Dual Cryptocurrency Note Agreement and its Risk Disclosures.