Binance Futures will soon introduce LDUSDT, a reward-bearing margin asset that accrues rewards to holders.
Traders can swap their tether (USDT) on Binance’s Simple Earn Flexible Product for LDUSDT, which can then be utilized as margin for stablecoin-margined futures trading.
Binance said LDUSDT builds on the success of BFUSD, its inaugural reward-bearing margin asset, which debuted earlier and enabled users to earn annual percentage yields (APY) through the exchange’s hedging and investment strategies.
As such, LDUSDT is not a stablecoin but a crypto token designed specifically for use as futures trading margin while simultaneously offering reward-earning potential. As of Wednesday, annualized yields for holding the token are around 1.5%, per The Block, and will be updated on a minute-by-minute basis.