Last night, when I saw the announcement about the joint event between USD1 and WLFI on Binance, I was reviewing my trading records from the past two months.
Looking at the pile of valuable coins in my account that I bought impulsively to avoid being in cash, now they are all in the negative.
To be honest, it's quite frustrating.
Having been in this industry for a long time, we often fall into a kind of 'hyperactivity'.
I feel that holding U is a loss, I feel like I must always be in the market competing, and I think only a 100-fold increase counts as an investment.
But the reality is often cruel: you are messing around, while the big players are earning interest.
Staring at the words '40 million dollar prize pool' and 'holding equals airdrop' in the announcement, I became clear-headed.
I took out the calculator and seriously calculated an account. After finishing this account, I directly cut off those half-dead counterfeit ones and exchanged them for USD1.
▰▰▰ Why? Because this is a blatant 'dimensionality reduction strike' ▰▰▰
Let's break down the mathematical logic here.
The total prize pool is 40 million dollars, distributed over 4 weeks, with settlements every Friday. This is simply a weekly salary system.
Based on the current circulation of USD1 and the penetration rate of Binance users, I conservatively estimated that the annualized return is likely between 15%-24%.
This may not be much during a bull market.
But in this garbage time where the market is either consolidating or in a downtrend, this is the Holy Grail.
It means you can completely ignore the market fluctuations; even if Bitcoin drops to 80,000, your assets are still compounding at a rate of 20%.
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▰▰▰ But I discovered a more hidden detail ▰▰▰
There is a seemingly insignificant sentence hidden in the announcement:
"If USD1 is placed in a leveraged or contract account as margin, the reward weight is 1.2 times."
Moreover, the threshold is so low it's shocking.
Even if you only have 0.01 USD1, this bonus will take effect.
Many people just glance at it and move on, but I stared at this line for five minutes.
This is clearly a 'compliance backdoor' left for the smart.
Ordinary retail investors would only leave their money in the spot account waiting foolishly.
And we just need to take one more action
to transfer the money to the contract account; even if no orders are placed, the earnings will increase by 20% out of thin air.
This 20% carries no risk; it purely comes from the premium of cognition.
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▰▰▰ My practical strategy and harsh risk control ▰▰▰
My current operation strategy is extremely simple, even a bit boring:
1. Clear out the junk coins and exchange them for USD1.
2. Transfer everything to the U-based contract account.
3. Delete the trading software and set an alarm to collect profits every Friday.
During this time, I don’t care if there are floods outside or if there’s a celebration.
I just quietly enjoy this 1.2 times airdrop weight.
This opportunity of 'not bearing liquidation risk but enjoying leveraged returns' is something that you won’t encounter even once in the crypto world for years.
Of course, in the end, a harsh risk control reminder must be made:
This event has extremely strict regional restrictions.
If you are KYC from mainland China, the United States, or multiple EU countries, don’t rush! Don’t rush! Don’t rush!
Be sure to check your account's KYC jurisdiction first, confirm your eligibility before taking action.
Don’t end up working hard for nothing; that would truly be counterproductive.
This also gave me a deeper insight:
We always think about predicting the market and catching that hundredfold coin.
But the real Alpha is often hidden in these dull announcement details, in the extreme utilization of rules.
In this noisy casino, 'understanding the rules' is more profitable than 'predicting the ups and downs.'
If you are also feeling confused and don’t know what to buy, or are even losing money.
Listen to my advice: stop.
After confirming your eligibility, exchange your money for USD1 and do this risk-free arbitrage.
First, let the principal survive, let the cash flow start.
Once these 4 weeks are over, holding onto the thousands of U profits obtained for free, the mindset will be completely different when it comes to gambling again.
This wave of benefits, if not taken, would really be a disservice to the nights I stayed up.
Those who understand will understand.
