Binance Leveraged Tokens (BLVT) are a type of cryptocurrency token that allows users to trade with leverage, or margin. Leveraged trading allows users to trade with more money than they have in their account, by borrowing money from a broker or exchange.
This can lead to higher profits, but also higher losses.
Binance Leveraged Tokens are available on the Binance exchange, and can be traded with other cryptocurrencies or fiat currencies. They are currently available in four different leverage ratios: 2x, 3x, 5x, and 10x.
2x Leveraged Token: A 2x leveraged token means that for every 1% move in price, the token will gain or lose 2%. So, if the price of the underlying asset goes up 1%, the 2x leveraged token will go up 2%.
Similarly, if the price of the underlying asset goes down 1%, the 2x leveraged token will go down 2%.
NOTE: WARNING: Binance Leveraged Tokens are a new type of high-risk investment product that can amplify gains and losses on cryptocurrency assets. These tokens are not suitable for all investors, as the potential for large gains can also be accompanied by large losses. Investing in Leveraged Tokens should only be done with money that you are prepared to lose. You should only invest if you understand the risks involved and have sufficient knowledge of trading cryptocurrencies.
3x Leveraged Token: A 3x leveraged token works in the same way as a 2x leveraged token, except that it gains or loses 3% for every 1% move in price. So, if the price of the underlying asset goes up 1%, the 3x leveraged token will go up 3%.
Similarly, if the price of the underlying asset goes down 1%, the 3x leveraged token will go down 3%.
5x Leveraged Token: A 5x leveraged token works in the same way as a 2x and 3x leveraged token, except that it gains or loses 5% for every 1% move in price. So, if the price of the underlying asset goes up 1%, the 5x leveraged token will go up 5%.
Similarly, if the price of the underlying asset goes down 1%, the 5x leveraged token will go down 5%.
10x Leveraged Token: A 10x leveraged token works in the same way as a 2x, 3x, and 5x leveraged token, except that it gains or loses 10% for every 1% move in price. So, if the price of the underlying asset goes up 1%, the 10x leveraged token will go up 10%. Similarly, if the price of the underlying asset goes down 1%,.
1 Related Question Answer Found
Binance Leverage Token (BLVT) is an ERC20 token that allows users to trade on the Binance Futures platform with up to 100x leverage. The token was created by Binance and is currently only available on the Binance Chain. The Binance Futures platform allows users to trade a variety of cryptocurrency pairs with up to 100x leverage.
