Popular cryptocurrency exchange CryptoCom has taken a u-turn to readjust the CRO rewards on its visa card after receiving a severe backlash from aggrieved customers. The exchange had previously announced that it would cut down on CRO rewards but the announcement did not go well with its customers.
Launched in 2018, the CryptoCom visa card allows users to spend their supported cryptocurrencies and stablecoins on any designated Visa merchants. The card is quite popular within the crypto community and has significantly increased the platform’s userbase since it was launched.
CryptoCom Slashes its Card Rewards
On Sunday, May 1, CryptoCom revealed that it would reduce its card rewards from June 1. The company noted that the reduction will be based on card tiers. Users with the lower card tiers – Midnight Blue and Ruby Steel – would receive 0% CRO rewards while members holding Royal Indigo and Jade Green cards would earn 0.5%. Those with the Icy White and Frosted Rose Gold cards would receive 1%. Lastly, users holding the highest tier of the Visa card, Obsidian, would receive up to 2% rewards.
Apart from slashing the Visa Card rewards, CryptoCom also halted its stake reward services, noting that cardholders with an active 6-month stake who delegated their assets before 1 May 2022 13:00 UTC will continue to earn the usual rewards on spending until the stake expires in 180 days while those who stake after will be rewarded based on the updated value.
In addition to this, the trading platform also introduced a monthly card reward limit which would be available depending on the level of your card. The monthly card limits for Ruby Steel cards and Indigo would be capped at $25 and $50 respectively. However, there would be no monthly cap attached to higher cards like Icy White, Frosted Rose Gold, and Obsidian.
The exchange also stated that there have been no changes to other card benefits. Cardholders will continue to enjoy the card’s full benefits including the 100% reimbursement on subscription services such as Spotify, Netflix, and Amazon Prime.
Royal Indigo, Jade Green and other higher tier cards will continue to enjoy unlimited complimentary lounge keys and airport lounge access.
CryptoCom Community Reactions
Many CryptoCom cardholders were dismayed by the new policy and went on social media to lament their grievances. One Reddit user noted that he will continue to use the card until the staking period expires before dumping it, while some said they no longer have reason to continue using the platform.
On Twitter, one cardholder described the updates on slashing cards and staked rewards as “dumb,” while another equated it to a “rugpull.”
Meanwhile, Prices of CRO, the exchange’s native cryptocurrency, took a step backward after the company’s announcement.
A Change of Heart?
Following the many negative reactions from users about the sudden changes, Kris Marszalek, CryptoCom CEO, announced that the exchange will no longer eliminate card staking completely, instead has implemented a more friendly approach.
Users holding the Obsidian, Icy White, and Frosted Rose Gold cards will now receive 8% in rewards while Royal Indigo and Jade Green card holders will earn 4%.
Source: https://coinfomania.com/cryptocom-takes-u-turn-on-staking-reward/#utm_source=rss&%23038;utm_medium=rss&%23038;utm_campaign=cryptocom-takes-u-turn-on-staking-reward