Recently Binance has changed the way how VET holders receive VTHO. Vet holders now have to subscribe to the Binance Flexible Savings plan to be able to receive their VTHO.
In this guide I will show you how to subscribe and give you the pro’s and con’s of doing so.
Binance Earn is a financial product offered by Binance that allows users to lend out their crypto coins to Binance and in return earn an interest on their holdings.
Binance offers various subscription plans from within Binance Earn, one of it being the VET Flexible Savings plan.
The VET Flexible Savings Plan
By subscribing to the VET Flexible Savings plan you will earn an interest on your VET.
VET locked into the savings plan is not available for you to trade with, but it is possible to redeem your VET at any time.
By subscribing their VET, users will earn the following interest (at the time of writing, these numbers might change in the future):
- 1.10% VET APY
- 3.45% VTHO APY
Where APY stands for annual percentage yield.
This means that by using the savings plan you can expect to earn around 4.55% interest every year simply by storing your VET in the Binance Savings Plan.
How to sign up to the VET Flexible Savings Plan
To receive VTHO on Binance you will need to subscribe with your VET into the VeChain Flexible savings plan on Binance. Please follow the steps below to do so:
- Login to Binance
- At the top of the screen in the main menu go to Finance > Binance Earn.
- In the Flexible Terms section go to Flexible Savings and Click on View More
- Under Flexible Savings click on Expand all Saving products and search for VeChain.
- Click on Transfer to Transfer VET Funds to the Flexible staking plan and the following screen shows up:
- You can enter the amount of VET you want to subscribe to the plan, agree to the Savings Service Agreement and submit your transfer.
Once subscribed you can go to Wallet > Earn to view your subscription and how much VET and VTHO you have earned from the Flexible Savings Program.
How to redeem your VET from the Savings Plan
You can redeem your VET by following the steps below:
- Login to Binance
- From the main menu go to Wallet > Earn
- In the overview you should see the total amount of VET you have locked in the VET Flexible Savings plan, click on Redeem.
- The following screen will popup, where you can enter the amount you want to redeem and you can select the redemption method.
- Fast redemption will give you back your VET straight away.
- Selecting the Standard redemption your VET will still receive today’s interest and you will get your VET back the next day..
Subscription and redemption rules
- Flexible Savings can be subscribed and redeemed at any time with funds being credited in real-time.
- Interest will be calculated from the day after subscription day, not counted on subscription day, and distributed on the second day after subscription day.
- You can choose fast or standard redemption to redeem assets.
- For standard redemptions, you will only receive the full amount back on the second day after redeeming, at 00:00 AM (UTC) with the earned interest included. The funds credited delay may due to the interest calculation process where the redemption day is included in the interest calculation period.
- For fast redemptions, you will receive the full amount of your digital assets back on the redemption day without interest.
- It is also possible to turn on automatic subscription from within the Flexible Savings page. If you turn this function on, every day at 02:00 AM (UTC) all available VET you hold will be put into the VET Flexible Savings Program.
To learn more about Binance earn please visit the Binance Academy.