Crypto Academy Week 9 - Homework Post for [@Fendit]...Making Your Cryptocurrencies Work For You

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Hello everyone,

It is another week of Steemit Cryptoacademy Season with an amazing lecture from professor @fendit on Making Your Cryptocurrencies Work For You. I got to know my nature in trading when it comes to taking risks and what ventures are available for making a profit with one's asset.

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a) Which is your risk aversion, which of these products you find the most appealing, and why

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In the lecture, we are enlightened on three categories of individuals aversion to risk, namely,

• Conservative tolerance to risk, Moderate tolerance to risk, and Moderate tolerance to risk

Individuals with conservative tolerance to risks like to play it safe when it comes to trading. They are always cautious of trades because they do not want to lose their tokens in the chase of high profits, thus they only invest in tokens with long-term good standing.
Moderate tolerance to risk individuals accepts a certain level of risk in their investment.
Individuals with aggressive tolerance to risk invest in trades that are highly volatile. They understand that markets with high risks are also the most profitable ones and tend to invest all their portfolios in small tokens or startups.

Accessing myself, I would say I possess both moderate and aggressive tolerance to risks. I have got two personalities, the normal me would invest half of my assets in search of profit with the notion that there's a possibility of losing my assets too. No matter how lucrative a project might seem to appear, the normal self would still hold on to some of my assets to invest in any ventures, in case I lose my invested assets.

There are instances when I feel numb and void. I am always carefree about risk in such instances and wouldn't mind going all in for a highly volatile investment. I tend to lose assets sometimes but I wouldn't give in to the loss all the way. I understand that those who take high risks tend to gain the most out of any venture so I get over the pain of losing my asset and carry on as normal.

With that being said, I think i will prefer Locked Staking under the Fixed Saving of of Binance earn.

From the FAQ as showed in the screenshot above from Binance, i am guranteee to receive interest even when the market price of the token i wish to stake drops and i get to also enjoy higher interest rates which varies with each token.

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Explain in your own words fixed and flexible savings, high-risk products, and launch pools

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Fixed Savings

This option offers users the opportunity to stake tokens for a fixed amount of time and earn high interest on their initial deposit. As the word fixed is attached to the savings, users can claim back the assets only when the time allocated for saving elaspes. This option is open to those moderate to risk aversion. This is because, there is higher risk involved since users involved do not have the chance to pull out their funds when that particular token is facing a bear market. At the long run, the token with its interest earned, become of little value to the holder.

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Flexible Savings

With this option, users have the choice to stake their assets and still have the option to withdraw their assets whenever they want to. Though the interests earned are to as high as compared to that of a fixed savings, it is safer to pursue. Users can pull-out anytime if that particular token faces a bear market. This option is suitable for users with conservative tolerance to risk . There are 58 flexible saving products in Binance earn option to choose from.

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High Risk Products

This option is open for those with high tolerance to risk. There are three options to choose from, Defi Staking, Dual Investment and Liquid Swap
With dual investment, users deposits a token for a fixed amount of time and is offered the chance to estimate the price of another token(BTC) at the time of settlement. Users are set to gain higher profits on their staked token when the price of the token upon settlement is higher than the estimated price of the token during the initial deposit. The payout is usually in a different token other than the one staked.

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Launch Pool

Binance launch pool is a great initiative to farm for tokens of new projects. Users have the opportunity to stake their asset on new projects precisely, Initial Exhange Offerings(IEOs) and earn some of the new tokens in distribution. Users received the amount staked back as well as tokens from the new project seeking recognition. Users gaiin high profits once the new projected is listed on Binance and the token mined gains a market price higher the price set during its farming.
In my opinion, this sort of investment is suitable for those with moderate tolerance to risk since their assets are held up until the time allocated for farming is completed. There is also the possibility of the new acquired token not gaining any worth if it doesn't receive support from users.

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Show and give detail on how to set the investment you chose in Binance

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I am going to take you through how to stake your asset in Fixed savings(Locked Staking)

• Visit Binance and log into your account.

• At the homepage, navigate to Finance(amongst the top menus) and select Binance Earn from the pop-up menu

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• Select Fixed Terms from the new menu, Click on Stakingfollowed by View More to explore the options

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• Under Locked Savings, choose your preferred token your wish to invest in and click on Stake button next to it

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• Select your preferred duration, enter your amount(bear in mind the limits), check the agreement box and click on Confirm purchase to finalise the agreement

Always make sure that you have enough funds pertaining to that asset in your spot wallet before you carry out the Locked Staking option

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To the attention of @fendit