Bybit Dual Asset: A complete guide to Buy Low and Sell High

Crypto holders often have a specific price in mind, a level at which they would buy more of an asset or sell what they already hold. Bybit’s Dual Asset lets you benefit from this intent directly by setting a market position in advance and earning a yield component throughout the investment period. The product offers two strategies — Buy Low and Sell High — and settlement occurs either in Tether (USDT) or the selected crypto asset, depending upon whether the target price is reached.

In this guide, we’ll share how both Dual Asset strategies work, how returns are calculated, the risks involved and how to get started with this versatile product.

Key Takeaways:

• Dual Asset is a non-principal-protected structured investment product, not a savings vehicle. 

• It works by choosing the Buy Low or Sell High option, then setting a target price and settlement date based on the price at which you’re willing to buy or sell. 

• Returns accrue as yield during the investment period, while the final settlement is either in USDT or the selected crypto asset, depending upon how the settlement price compares with the target price.

What is Bybit Dual Asset?

Bybit Dual Asset is a non-principal-protected structured investment product. Users select a target price for a crypto asset, choose a direction (Buy Low or Sell High) and pick a settlement date that fits their outlook. Throughout the investment period, the user earns a yield component that accrues irrespective of market movements. At settlement, the outcome depends upon how the final settlement price compares with the target price; users receive settlement in either USDT or the underlying crypto asset.

Available assets include Bitcoin (BTC), Ethereum (ETH) and selected altcoins, giving you a range of markets to work with. Investment periods are flexible, ranging from eight hours to more than 200 days, so you can match the product to your preferred time horizon. Returns are quoted as APR, which applies only to the yield component. The overall value of your position still depends entirely upon the settlement outcome, not the quoted rate alone.

For more background on how crypto yield works and how to evaluate its risks, see our Passive Income & Yield course.

How does Buy Low work?

Buy Low requires depositing USDT and setting a target price below the current market price. Once the settlement price reaches or falls below that target price at maturity, the USDT plus any accrued yield converts into the crypto at the target price. If the settlement price stays above the target, you simply keep your USDT plus yield.

As an example, consider BTC trading near $80,000, with a target price of $77,500. You subscribe to 1,000 USDT for three days at an illustrative APR of 36.5%. Interest is calculated as Subscription Amount x APR x Investment Period (days)/365, which in this case equals 1,000 × 36.5% × 3/365, or 3 USDT.

In the scenario above, the settlement price closes at or below $77,500. The total of 1,003 USDT converts to BTC at the target price, yielding roughly 1,003/77,500, or about 0.01294 BTC.

In the second scenario, let’s say that the settlement price closes above $77,500. Here, conversion does not happen. You retain the full 1,003 USDT, combining your original 1,000 USDT subscription with the 3 USDT in accrued interest.

How does Sell High work?

Sell High requires depositing crypto, such as BTC, and setting a target price above the current market price. Once the settlement price reaches or exceeds the target price at maturity, your crypto (plus any accrued yield) converts to USDT at the target price. If the settlement price stays below the target, you simply keep your crypto plus yield.

Consider BTC trading near $80,000, with a target price of $82,000. You subscribe to 1 BTC for a three-day period at an illustrative APR of 36.5%. Interest is calculated exactly as above in the Buy Low section: Subscription Amount x APR x Investment Period (days)/365, which here equals 1 × 36.5% × 3/365, or 0.003 BTC.

In the first scenario, the settlement price closes at or above $82,000. The total of 1.003 BTC converts to USDT at the target price, yielding 1.003 × 82,000, or 82,246 USDT.

In the second scenario, the settlement price closes below $82,000. Here, conversion doesn’t take place. You retain the full 1.003 BTC, combining your original 1 BTC subscription with the 0.003 BTC in accrued interest.

What are the risks?

Bybit Dual Asset carries certain risks you should understand before subscribing.

• Dual Asset is not a principal-protected product. The value of your settlement asset may fall below the amount of your original deposit.

• Market movement beyond the target price affects outcomes in one of two ways: you may miss out on further upside, or you may end up buying or selling at a less favorable effective market value upon settlement.

• Once you’ve subscribed, your assets are locked. Redemption before the settlement date isn't an option.

• Settlement doesn't always result in the return of your original asset. You may receive USDT or other crypto, depending upon where the final price lands.

• Settlement outcomes depend entirely upon the price at maturity. Price fluctuations before or after that specific point in time don't factor into the final result.

Consider each of these potential risks before making your final decision to subscribe to Dual Asset. Any risk assessment must account for your risk tolerance and market outlook.

When might you use Dual Asset?

Bybit's Dual Asset product fits the following three main scenarios, based on your market outlook and asset position.

• Buy Low: This is for users who want to accumulate a crypto asset at the target purchase price. You must be comfortable buying at that level, and you can earn the yield component while waiting for settlement.

• Sell High: This strategy suits users who already hold crypto and have a set price target for selling. While waiting for that price, you can also collect the yield component.

• Accept either settlement outcome: Users without a strong preference between keeping their current asset or receiving the alternate settlement asset can still earn the yield component throughout the investment period.

The payoff logic has some similarities to a limit order since you choose a price at which you're willing to buy or sell. However, Dual Asset only determines the outcome at settlement and also includes a yield component, lockup period and settlement-asset risk.

Can you use Dual Asset with tokenized stocks?

xStocks Dual Asset extends Bybit’s existing Dual Asset product by applying the same core Buy Low and Sell High mechanics to tokenized stocks. You can choose a target price and direction, earn a yield component during the investment period and receive settlement in either USDT or your selected xStock, depending upon the settlement outcome.

The main difference is the underlying asset class. Instead of a cryptocurrency such as BTC or ETH, the position uses a tokenized stock that tracks the performance of its corresponding equity. Note also that xStocks Dual Asset may have its own supported assets, investment periods, eligibility requirements and product-specific risks.

How to get started

Follow the steps below to start using Bybit Dual Asset via the Bybit App mobile application.

1. Navigate to Assets → Earn → Advanced Earn → Dual Asset.



2. Review available plans by tapping on the pair selector and choosing your preferred plan. Note that APRs and target prices refresh periodically.



3. For your selected trading pair, choose the direction (Buy Low or Sell High), investment period and target price.



4. Enter your investment amount and confirm the order. The minimum required amount will be shown in the amount field.



On the desktop version, the navigation path to Dual Asset is Finance (from the top menu on the homepage) → Advanced Earn → Dual Asset.

The funds for your Dual Asset plan can come from your Funding Account, Unified Trading Account (UTA) or Flexible Easy Earn balance.

Proceeds are transferred to you within 30 minutes of the settlement time, which is 08:00 UTC on the settlement date.

The bottom line

Bybit Dual Asset lets you set a target price to buy crypto and selected xStocks at a lower price or sell them at a higher one, while earning yield during the investment period. Because settlement can occur in either USDT or the selected asset, and principal isn’t protected, it’s important to be comfortable with both possible outcomes before subscribing.

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