As mentioned in Negative Trading Fees, up to 50% of the fees generated by trade are rewarded to the Maker of the order if they are a Premium 9 Member.
Half of it (25% of the total) goes to Eterbase. The other half (25% of the total) goes towards Referral Bonuses.
In order to incentivize existing users to bring more people to the platform, we are implementing a 5 chain referral system. This means that 5% increments of the Referral Bonus mentioned above are distributed to the chain of traders who have referred the trader who pays the fee.
Let’s illustrate it with some basic images.
Let’s assume Person A refers Person B, who in turn refers Person C all the way to the 6th one in the chain — Person F. If Person F is responsible for 100 EURBASE in trading fees during a period of time, each person across the referral chain will automatically receive 5% of that — in this case 5 EURBASE each (A-E).
This is just a simple example that takes only one person from the chain into account.
But what if each person in the referral chain of Person A is responsible for 100 EURBASE in fees being added to the referral pool?
In this case, the users above will receive 5 EURBASE from each person down the chain, thus compounding the rewards they receive from the Referral Bonus Structure. There is also no cap on the amount of chains a user can have ensuring this is one of the strongest referral schemes available from any exchange.
The 5 level Referral Chain Structure incentivizes our users to bring on as many people onto the platform as possible — the more branches they create for themselves, the more they can capitalize on referral bonuses.
It will also encourage them to bring users who manage large trading volumes (in order to maximise the potential referral bonus) therefore acting as another important catalyst for liquidity joining our platform.