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 1400 EUR and consider “moderate” return of Dukascoin Coin Reward Deposit for an amount of 1000 DUK+. In this case you can accumulate on your MCA account 1400 EUR and buy 1000 DUK+ on internal marketplace at the current exchange rate of 1.4 EUR per 1 Dukascoin. According to the current reward rate schedule your yearly income rate will be 30% (300 DUK+). Thus, at the expiration of the deposit you will have 1300 DUK+. In case if the exchange rate of Dukascoin stays at the same level of 1.4 EUR per 1 Dukascoin you will be able to sell 1300 DUK+ at 1.4 and get back 1 820 EUR. As a result the yearly rate of return will be: 1820/1400 * 100 - 100 = 30%.

USE CASE 2. 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 have 14000 EUR and consider applying for the Dukascoin Coin Reward Deposit with the aim collect an impressive return of 9000 DUK+. In this case you will need to invest 14000 EUR and buy 10000 DUK+ on the internal marketplace at the current exchange rate of 1.4 EUR per 1 Dukascoin. According to the current reward rate schedule your yearly income rate will be 90% (9000 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 you will be able to get back already 38 000 EUR by selling your 19 000 Dukascoins at the rate 2 EUR per 1 DUkascoin. As a result the yearly rate of return will be: 38000/14000 * 100 - 100 = 171,43%!

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.

USE CASE 3. One year EUR 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.

You decided to buy 20000 DUK+ and allocate this amount to a EUR Reward deposit. You will need 28000 EUR available on your MCA account to buy 20000 DUK+ on the internal marketplace at the rate of 1.4 EUR per 1 Dukascoin. The yearly income gained on a 20000 DUK+ deposit will be 10000 EUR. Thus, at the deposit expiration date you will get your 20000 DUK+ returned back and a reward of 10000 EUR on top. If you decide to immediately sell the 20000 DUK+ coins and the exchange rate 2 EUR per 1 Dukascoin at the expiration of the deposit term you will get a total of 50000 EUR on your MCA account. The yearly rate of return will be 50000/28000 * 100 - 100 = 78%!

COMPARATIVE TABLE OF INCOME GENERATED BY REWARD PROGRAMS