Binance Now Allows to Short the DeFi Token That Is Up 3,500% YTD, With 50x Leverage
Are you surprised? Many aren’t!
Binance Futures is all set to make the most out of the ongoing DeFi craze. It doesn’t matter whether the price of a digital asset goes up or down, cryptocurrency exchanges roll in cash either way.
And Binance is not letting any opportunity get out of its hands, anything for the customers after all!
The exchange announced the launch of perpetual contract LEND/USDT with 50x leverage, (at least it isn’t 125x). Also, don’t worry; Binance has a “Responsible Trading” feature so, leverage on responsibly!
The trading for the contract will begin on July 23rd at 9:00 AM (UTC).
Interestingly, the new addition to either long or short is for the hot DeFi token, which is up 3,520% YTD — the best performing digital asset in 2020.
The 31st largest cryptocurrency by market cap of $407 million has been surging since April. Currently down 4.47% while trading at $0.314, it pumped over 25% this past week and more than 125% in the past month.
In the past year, it is up a whopping 6,400%.
Aave recently announced the sale of $3 million worth of its LEND tokens to crypto funds Three Arrows Capital and Framework Ventures, which has been just about a week after ParaFi invested $4.5 million in the project.
This lending platform currently supports more than 20 assets and has been continuously adding new features such as Credit Delegation and flash loans.
However, as we reported last week, amidst the ongoing rally, its on-chain indicators suggested that the asset may be over-extended with retail users entering the frenzy while large players started to sell.
While long-time holders appear to be selling LEND as per IntotheBlock data, this week Binance is allowing short or long this digital asset.
One Twitter user wondered, “Why they don’t promote the old coins which are in the bottom, why they’re promoting the coins which they pumped 3000%.”
Well, those old coins are already at their lows, so they aren’t going any lower, at least not drastically. And if they haven’t already pumped, there are slim chances they are going to pump anytime soon, if ever.
The market is all about DeFi right now, and there’s no better coin than the one whose chart has been going straight up in 2020.