The Coin Reward paid on deposits in Dukascoins

INCOME GENERATING EXAMPLES FOR COIN AND FIAT REWARD DEPOSITS

Let`s assume that the client is considering different investment options offered by different banks. As a rule, the annual rate of return for such an asset allocation is around 0.2-2 %. Reward programs offered by Dukascopy Bank through Dukascoin as intermediary vehicle may appear to be a way more attractive option. Use cases described below will help to compare income-generating programs available for Dukascopy Bank clients with other conventional forms of investments.

Please, bear in mind that Dukascopy Bank does not guarantee exchange rate of Dukascoins to EUR, and the price can decrease or increase according to customer demand.

USE CASE 1. One year Coin Reward deposit projected profitability in case if the exchange rate of Dukascoins remains unchanged at the expiration of the deposit term.

Let`s assume that you have 1500 EUR and consider “moderate” return of Dukascoin Coin Reward Deposit for an amount of 2000 DUK+. In this case you can accumulate on your MCA account 1500 EUR and buy 2000 DUK+ on internal marketplace at the current exchange rate of 0.75 EUR per 1 Dukascoin. According to the current reward rate schedule your yearly income rate will be 50% (1000 DUK+). Thus, at the expiration of the deposit you will have 3000 DUK+. In case if the exchange rate of Dukascoin stays at the same level of 0.75 EUR per 1 Dukascoin you will be able to sell 3000 DUK+ at 0.75 and get back 2 250 EUR. As a result the yearly rate of return will be: 2250/1500 * 100 - 100 = 50%.

USE CASE 2. One year Coin Reward deposit projected profitability in case if the exchange rate of Dukascoins rises to 1 EUR per 1 Dukascoin at the expiration of the deposit term.

Let`s assume that you have 5000 EUR and consider applying for the Dukascoin Coin Reward Deposit with the aim collect an impressive return of 5000 DUK+. In this case you will need to invest 3 750 EUR and buy 5000 DUK+ on the internal marketplace at the current exchange rate of 0.75 EUR per 1 Dukascoin. According to the current reward rate schedule your yearly income rate will be 80% (4000 DUK+). Thus, at the expiration of the deposit you will have 9000 DUK+. In case if the exchange rate of Dukascoin reaches 1 EUR per 1 Dukascoin you will be able to get back already 9 000 EUR by selling your coins. As a result the yearly rate of return will be: 9000/3750 * 100 - 100 = 140%.

USE CASE 3. One year Coin Reward deposit projected profitability in case if the exchange rate of Dukascoins rises to 2 EUR per 1 Dukascoin at the expiration of the deposit term.

Let`s assume that you still have 5000 EUR and consider applying for the Dukascoin Coin Reward Deposit with the aim collect a return of 5000 DUK+. You will need to invest 3 750 EUR and buy 5000 DUK+ on the internal marketplace at the current exchange rate of 0.75 EUR per 1 Dukascoin. According to the current reward rate schedule your yearly income rate will be 80% (4000 DUK+). Thus, at the expiration of the deposit you will have 9000 DUK+. In case if the exchange rate of Dukascoin reaches 2 EUR per 1 Dukascoin and you decide to sell your 9000 DUK+ at 2 EUR per Dukascoin you will earn a substantial amount of 18 000 EUR. As a result the yearly rate of return will be: 18 000/3 750 * 100 - 100 = 380%.

USE CASE 4. One year Coin Reward deposit projected profitability in case if the exchange rate of Dukascoins is 5 EUR per 1 Dukascoin at the expiration of the deposit term.

Let`s consider a case where you have 10 000 EUR and consider allocating those for a Coin Reward Deposit of 10 000 Dukascoins. In this case you will need to invest 7 500 EUR and buy 10 000 DUK+ on the internal marketplace at the current exchange rate of 0.75 EUR per 1 Dukascoin. This amount of investment yields an impressive 100% return (10 000 DUK+) according to the current reward rate schedule. In such a way your investment at the expiration of the deposit term will be worth 20 000 DUK+. Selling those at the new exchange rate of 5 EUR per Dukascoin you will bring you 100 000 EUR. As a result the yearly rate of return will be: 100 000/7 500 * 100 - 100 = 1233% !!!

Clients looking for a more conservative type of investment combining crypto and fiat income may be interested to consider another reward program offered by Dukascopy Bank – EUR Reward deposit. This program currently offers a reward of 0.5 EUR per every Dukascoin allocated on Dukascopy Bank custody.

Find below the performance of this option using the same amounts of planned investment from previous use cases.

USE CASE 5. One year EUR Reward deposit projected profitability in case if the exchange rate of Dukascoins remains unchanged during the term of deposit.

You decided to buy 2000 DUK+ and allocate this amount to a EUR Reward deposit. You will need 1500 EUR available on your MCA account to buy 2000 DUK+ on the internal marketplace at the rate of 0.75 EUR per 1 Dukascoin. The yearly income gained on a 2000 DUK+ deposit will be 1000 EUR. Thus, at the deposit expiration date you will your 2000 DUK+ returned back and a reward of 1000 EUR on top. If you decide to immediately sell the 2000 DUK+ coins and the exchange rate is the same as at the moment of purchase (i.e. 0.75 EUR per DUK+ you will get a total of 2500 EUR on your MCA account. The yearly rate of return will be 2500/1500 * 100 - 100 = 67%.

USE CASE 6. One year EUR Reward deposit projected profitability in case if the exchange rate of Dukascoins rises to 1 EUR per Dukascoin at the expiration of the deposit term.

Let`s assume that you decided to invest 5000 DUK+ in the EUR Reward program. You will need 3750 EUR to be exchanged to Dukascoins at the current rate of 0.75 EUR per 1 Dukascoin. Thus, at the investment expiration date you will get back the 5000 DUK+ and a reward of 2500 EUR. In case you decide to sell 5000 DUK+ at the new exchange rate of 1 EUR per DUK+ your total assets will become 7500 EUR and the yearly rate of return will be 7500/3750 * 100 - 100 = 100%.

USE CASE 7. One year EUR Reward deposit projected profitability in case if the exchange rate of Dukascoins is 2 EUR per Dukascoin at the expiration of the deposit term.

Provided that the Dukascoin price rises to 2 EUR and all the other conditions remain identical to Use Case 6, the total yearly rate of return for 5000 DUK+ initially bought at 0.75 EUR per 1 DUK+ will be 12500 / 3750 * 100 - 100 = 233%.

USE CASE 8. One year EUR Reward deposit projected profitability in case if the exchange rate of Dukascoins becomes 5 EUR per Dukascoin at the expiration of the deposit term.

Let`s consider a situation where you have 10 000 EUR and consider to allocate 10 000 Dukascoins for a EUR Reward deposit program. You will need to invest an amount of 7 500 EUR and buy 10 000 DUK+ on the internal marketplace at the current exchange rate of 0.75 EUR per 1 Dukascoin. The yearly income for this investment will be 5000 EUR. At the expiration date your assets consist in 10 000 of initial DUK+ coins and the reward of 5000 EUR. Selling these 10 000 DUK+ at 5 EUR per 1 Dukascoin will bring you 50 000 EUR. As a result, the yearly rate of return on the investment will be 55 000 / 7 500 * 100 - 100 = 633% !!!

COMPARATIVE TABLE OF INCOME GENERATED BY REWARD PROGRAMS