Binance Discount Buy is a high-yield structured product that allows you to either lock in a future purchase of crypto at a target price below the current market value, or earn fixed Annual Percentage Rate (APR) rewards if the purchase is not executed.
If the price on settlement day is below the knockout price, you can buy cryptocurrency (e.g., BTC, ETH) at a fixed target buy price lower than the market price when you subscribe. If the purchase is not executed, you will keep your stablecoin and earn the fixed APR on the settlement day.
Discount Buy is ideal for users looking to accumulate more crypto assets in a low-volatility market.
When you subscribe to Discount Buy, you can choose your preferred subscription based on the Knockout Price, Target Buy Price, APR, and Settlement Date.
When you subscribe to Discount Buy, there are three possible scenarios on the settlement day:
Scenario 1: 100% Principal Purchases
Scenario 2: 50% Principal Purchases
Scenario 3: No Purchases and Receive Knockout APR Rewards
Let's assume the current BTC price is $80,000. You subscribe to the instrument with a purchase price of $75,000, a discount rate of 6.25%, a knockout price of $90,000, and an APR of 20%. The total Investment amount is 10,000 USDC and the duration, until the settlement date, is 10 days.
Scenario 1: 100% Principal Purchases
Scenario 2: 50% Principal Purchases
Scenario 3: Receive Principal and APR
Please Note: The calculated value of APY% * Subscription Period (in days) / 365 will be rounded down to eight decimal places.
Discount Buy is not a risk-free investment product and involves several risks. Please read the product terms carefully before making your investment.
Via Web:
1. Log in to your Binance account and go to [Earn] - [Advanced Earn] - [Discount Buy].
2. Select from available product options, each with preset Purchase Price, Knockout Price, APR, and Settlement Date.
3. Enter your subscription amount and click [Subscribe].
4. If this is your first-time subscription, please complete the Discount Buy Quiz. Read the Terms & Conditions carefully before subscribing and acknowledge that you cannot edit, cancel, or redeem your subscription before the settlement once you subscribe.
5. You have successfully subscribed. To view your subscription, go to [Orders] - [Earn History] - [Discount Buy].
| Knockout Price | A set price that determines whether the purchase is filled or if you earn rewards. |
| Target Buy Price | A set price at which you want to buy cryptocurrency. |
| Settlement Price | The average Market Price in the spot trade from 07:30 (UTC) to 08:00 (UTC) on the Settlement Date. |
| Settlement Date | A set date at which you want to buy cryptocurrency. |
| Subscription Amount | The amount deposited when subscribing to Discount Buy. This amount will be used to buy crypto. |
| Subscription Period/Duration | The number of days from the day of the subscription until the Settlement Date. |
Once the subscription is completed, your Target Buy Price, Knockout Price, Settlement Date, and APR will be fixed. You are unable to revise these terms. Please note: The APR is variable during the subscription period but becomes fixed once the subscription is completed
You can review them from [Earn Wallet] - [Earn History].
You can subscribe to the products before 23:59 (UTC) two days before the Settlement Date. For the product with a settlement date of Tuesday, the cutoff time to subscribe is 23:59 (UTC) on Sunday.
There are no trading fees when the purchase is filled. Additionally, there is no subscription fee for Discount Buy products.
BTC and ETH are supported. For more information, please refer to the product page.
There are maximum and minimum subscription amounts. Please refer to the product page for detailed information.
If the Settlement Price is higher than the Knockout price, you will earn rewards instead of buying the crypto. The rewards are calculated as follows:
The rewards = Subscription Amount * [APR% * Subscription Period (in days) / 365]
Please note: The calculated value of APR% * Subscription Period (in days) / 365 will be rounded down to eight decimal places.
Example:
You subscribe to Discount Buy with a Knockout Price of 90,000, a Target Buy Price of 80,000, and a duration of 5 days. Your investment is 10,000 USDC and the APR is 20%.
If the Settlement Price is 95,000, which is higher than the Knockout Price, you will receive the rewards.
Your Rewards = 10,000 USDC * (0.2 * 5 / 365) = 10,000 USDC * 0.0027 = 27 USDC.
Your investment rewards and purchased crypto will be calculated at 08:00 UTC on the Settlement Date. The rewards or purchased crypto will be distributed into your Spot Wallet within 4 hours, by 12:00 (UTC).
Unfortunately, you cannot edit, cancel, or redeem your subscription before the settlement once you subscribe. Please read through the product terms carefully before subscribing.
To learn more about Binance Earn, visit What Is Binance Earn and How to Use It?
