Binance will launch LDUSDT, second margin-earning asset for futures trading

Binance has announced that it will soon launch LDUSDT, its second margin-earning asset aimed at traders using the brokerage's futures platform. The new token follows the model of BFUSD, launched previously, and offers users the opportunity to earn returns while using the asset as margin in stablecoin operations.

Although it does not have an expanded name, LDUSDT represents another bet by Binance on products that combine liquidity, yield, and flexibility. Investors will be able to swap their Tether (USDT) for the new token within the Simple Earn Flexible product and use it directly as margin for trades on the futures platform.

“After the positive reception from users with the launch of our first margin-earning asset, BFUSD, we are pleased to introduce another product that enhances the utility of our users' assets,” said Jeff Li, Vice President of Product at Binance. “LDUSDT increases capital efficiency and allows users to earn yields while maintaining the freedom to reallocate their resources whenever they wish.”

Although it functions similarly to a stablecoin, LDUSDT is a cryptocurrency token exclusively for margin purposes, with embedded yield. According to the portal The Block, annualized yields were around 1.5% as of the morning of Wednesday (9), with real-time updates.

The launch reinforces Binance's commitment to expanding products that integrate investment strategies and active operations, primarily benefiting users trading in the futures market.