at Crypto.com Depending on the amount of money deposited in CRO, members receive one of seven different metal Visa cards. For the first card named “Midnight Blue” you get 1 percent staking reward. If you deposit $400,000 in your Crypto.com wallet and have it blocked for at least 180 days, you can even get up to 8 percent in staking rewards with the black “Obsidian” card. This is the highest level.
Restrictions for more sustainability
On Sunday, the fintech company announced the cuts in these rewards in a blog post. For the lowest tier, rewards should be cut by an average of 69.5 percent. For the highest Obsidian tier, the staking bounty should drop from 8 percent to 5 percent.
In addition to the reduced staking rewards, there are additional restrictions. The company would like to introduce a monthly reward limit for three different cards. The “Ruby” Steel card has a monthly limit of $25, while the “Royal Indigo” and “Jade Green” cards have a monthly reward limit of $50.
Had the company miscalculated in advance? The CEO of Singaporean crypto exchange Kris Marszalek wrote on Twitter that the company is growing rapidly and that he wants to make the staking program sustainable. So, looking ahead, he needs to cut rewards to ensure “long-term sustainability” and the returns on offer.
The changes to the Rewards Plan are scheduled to take effect on June 1st. However, for all cardholders who had an active six-month (180-day) staking commitment prior to Sunday, the rewards schedule will not change until their current term expires.
Crypto.com customers are clearly irritated by the sudden cuts. dev charta prominent crypto staker, told his 170,000 Twitter followers that the exchange’s decision was “the dumbest decision of the day.”
Marszalek reacts quickly to the negative mood in the community and tries to appease it. On Twitter, he explains that he wants to adjust the staking reward rates fairly.
instead of the Card staking rewards Abolishing it entirely or drastically cutting it, Crypto.com wants to offer a more balanced approach. Nevertheless, the possible profits for the customers decrease.
The result: 8 percent for all private members with Obsidian, Icy White and Frosted Rose Gold cards, and 4 percent staking reward for all owners of Royal Indigo and Jade Green cards. The decision has not yet been officially confirmed. Nevertheless, the Cronos price (CRO) has already recovered. It is currently trading at just under 0.3 US dollars, up almost 1 percent on the day.
There is currently no information on the staking rewards for Ruby Steel and Midnight Blue holders. It can be assumed that the rewards will be omitted in these cases.
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