Shark Fin FAQ

What's OKX Shark Fin?

Shark Fin is a principal-protected savings product, which rewards users with higher APYs when the underlying asset expires within a pre-defined range. Some unique features of Shark Fin are:

• Principal protected.

• Your principal amount is protected and you are guaranteed a basic reward for your position irrespective of the market movement.

• Discover opportunities in both bullish and bearish markets.

• Shark Fin is an interesting product that allows users to take both bullish and bearish views on BTC and ETH simultaneously.

• Subscribe and earn in stablecoin.

• Your subscription is in USDT and all your earnings will be paid back in USDT.

• Improved financial management.

• Users can choose between the three day and seven day terms. With a fixed period and a guaranteed APY, users can be certain of receiving a minimum reward within three or seven days.

• No hidden fees.

• OKX does not charge any additional trading fee or processing fee to fulfill an order.
  

What's a bullish Shark Fin?

A user would subscribe to bullish Shark Fin when they expect the price of BTC/ETH to rise. The price of BTC/ETH at the end of 7 days will be taken to decide the final APY to be paid out.The earnings are calculated using the following formula: Subscribed amount (1 + APY [7/365]). Estimated earnings can also be calculated on the Shark Fin subscription page, during the subscription period. The 3 scenarios are:

1. Below the range - basic APY%

2. Inside the range - between low APY and high APY depending on the price

3. Above the range - basic APY%

Here's a hypothetical situation where:

• Subscription amount: 1,000 USDT

• APY: 1% - 18%

• Term: 7 Days

• BTC price range: $18,000 - $21,000

Note: This example is presented for illustration purposes only and does not represent the future APY.

Examples of scenario

Scenario 1: Below the range Expiration price = $17,000 < $18,000 , APY = 1%

Subscription amount x APY x 7 / 365 = Earnings

Example: subscribed amount x (1 + APY x [7/365]) = 0.192 USDT (Earnings)

Scenario 2: Within the range Expiration price = $19,500, within $18,000 - $21,000 , APY = 4% + (19,500 - 18,000) / (21,000 - 18,000) x (18% - 4%) = 11%

Subscribed amount x APY x 7/365 = Earnings

Example: 1,000 x 11% x 7/365 = 2.110 USDT (Earnings)

Scenario 3: Above the range Expiration price = $24,000 > $21,000 , APY = 1%

Subscribed amount x APY x 7/365 = Earnings

Example: 1,000 x 1% x 7/365 = 0.192 USDT (Earnings)

What's a bearish Shark Fin?

On the other hand, a user would opt for the bearish Shark Fin if they anticipate a decrease in the price of BTC/ETH. The final APY payout hinges on the price of BTC/ETH at the end of 7 days.The earnings are calculated using the following formula: Subscribed amount (1 + APY [7/365]). Estimated earnings can also be calculated on the Shark Fin subscription page, during the subscription period. The 3 scenarios are:

1. Below the range - basic APY%

2. Inside the range - between low APY and high APY depending on the price

3. Above the range - basic APY%
   

Here's a hypothetical situation where:

• Subscription amount: 1,000 USDT

• APY: 2% - 19%

• Term: 7 Days

• BTC price range: $18,000 - $21,000

Note: This example is presented for illustration purposes only and does not represent the future APY.

Examples of scenario

Scenario 1: Below the range Expiration price = $17,000 < $18,000, APY = 2%

Subscribed amount x APY x 7/365 = Earnings

Example: 1,000 x 2% x 7/365 = 0.384 USDT (Earnings)

Scenario 2: Within the range Expiration price = $19,500, within $18,000 - $21,000, APY = 19% - (19,500 - 18,000) / (21,000 - 18,000) x (19% - 4%) = 11.5%

Subscribed amount x APY x 7/365 = Earnings

Example: 1,000 x 11.5% x 7/365 = 2.205 USDT (Earnings)

Scenario 3: Above the range Expiration price = $24,000 > $21,000 APY = 2%Subscribed amount x APY x 7/365 = Earnings

Example: 1,000 x 2% x 7/365 = 0.384 USDT (Earnings)