Crypto.com dramatically cuts rewards for its popular debit cards

crypto-com.jpg

Source: Crypto.com

Crypto.com announced on Sunday that its Crypto.com Visa debit cards will soon be less attractive. Starting June 1, 2022, the debit card suite will earn significantly lower rewards, and rewards for Ruby Steel and Royal Indigo/Jade Green cards will now have a monthly rewards cap.

Starting June 1, Ruby Steel and Royal Indigo/Jade Green cards will have monthly reward caps of $25 and $50 respectively. Limits will reset on the first of each calendar month. Card rewards will also be significantly reduced.

Initially, the company also planned to remove CRO staking rewards altogether, further limiting the usefulness of the card. However, following the community backlash, crypto.com CEO Kris Marszalek took to Twitter to address the changes.

“Instead of completely eliminating card win rates, we will be offering a more balanced approach: 8% APY for private members (Obsidian, Icy White, and Frosted Rose Gold) 4% APY for cardholders Royal Indigo and Jade Green,” he wrote. on Twitter.

According to the company blog, the changes are implemented “to ensure long-term sustainability”. Additionally, cardholders who started staking before May 1 will continue to earn current rewards until their 180-day staking period expires. After this period, cardholders will earn the updated card rewards and new CRO staking APY.

Here are the new CRO cashback rates:

Map level

CRO cash back while not staking

CRO cashback while staking

Previous awards

Ruby Steel

0%

0.5%

2%

Royal Indigo/Jade Green

0.5%

1.5%

3%

Iced White / Frosted Rose Gold

1%

3%

5%

Obsidian

2%

5%

8%

Keep in mind that to reach advanced card levels, cardholders will need to wager a specific number of CRO tokens for 180 days:

  • Midnight Blue: 0 USD CRO staked
  • Ruby Steel: $400 CRO staked
  • Royal Indigo/Jade Green: $4,000 CRO staked
  • Rose Gold/Icy White: $40,000 in CRO staked
  • Obsidian: $400,000 in CRO staked

Based on these requirements and the new changes, the cards hardly seem worth it. Between the monthly rewards cap of $25 and $50, the CRO cashback reduction, the wagering APY reduction, and the CRO wagering requirement of $400 to $4,000 USD, the cards entry-level Ruby Steel and Royal Indigo/Jade Green are less of an option for a lucrative cryptocurrency card.

And while higher card tiers don’t have a monthly limit to the number of rewards they can earn, the US$40,000-$400,000 wagering requirement in CRO doesn’t seem achievable for cardholders. potentials. Having to spend $400,000 to qualify for the Obsidian card tier in order to earn 2% or 5% cash back in CRO is just not a financially smart move.

According to Coin Market Cap, the price of CRO fell from 0.35 cents on Sunday to 0.26 cents on Tuesday. It recovered slightly to 0.30 cents at the time of writing.

Understandably, many cardholders are upset by the news. Many took Reddit to denigrate the company, with many CRO holders allegedly considering withdrawing their tokens and selling them. Apart from the rewards, the benefits of the card will not be changed.