Users on Crypto.com exchange can enjoy upto 50% discount to purchase the crypto asset to be listed under a The Syndicate event.
I have been an avid fan of Crypto.com and we have done several articles on the products they offer. In this article we will look at “The Syndicate” program of Crypto.com exchange.
What is The Syndicate?
Crypto.com like any other crypto exchange lists new tokens for trading continually. Many crypto exchanges charge a listing fee from projects, while Crypto.com doesn’t. Instead, they implement an innovative way to allow listing of new tokens and immediately help projects raise capital they need to keep building and advancing their infrastructure. This program is called “The Syndicate”.
The listing project provides allocation of their token for sale to Crypto.com Exchange users with a discount of upto 50%. For example, if XYZ token is listing on Crypto.com under the syndicate, they will allocate tokens for exchange users to buy at 25% or 50% discount.
Crypto.com passes all the sale proceeds to the projects. This way, the project gets all the benefits from Crypto.com like staking, using their tokens for payments, token lending to earn interest on the tokens, etc.
Exchange Users Buy Tokens at Attractive Discount
All exchange users can participate in the syndicate and enjoy the discounts. But there are a few conditions.
- Users need to stake CRO tokens in order to be eligible for participating in the syndicate.
- Users can only purchase the discounted tokens with Crypto.com’s native token CRO.
- The maximum amount of tokens a user can purchase is limited to how many CRO tokens are staked by the user.
In case of over-subscription – If the total pledged amount is above the total project allocation, the user will receive a prorated amount based on the pledged amount.
How to Participate in The Syndicate
Crypto.com exchange users can see the on-going or upcoming event along with past events on The Syndicate page of the exchange.
The process of participating in The Syndicate is divided in three stages.
- Stake CRO tokens for six months. Receive 20% interest per year on staked CRO.
- Subscribe to on going Syndicate.
- Claim The Syndicate Tokens.
We will review each process separately. If you have already staked CRO on Crypto.com exchange, you can skip this section.
Stake CRO tokens
To participate in the Syndicate and enjoy discounted purchase, user must stake the native CRO tokens. The eligibility amount for participation depends on the amount of staked CRO tokens as shown before.
Here’s how to stake CRO on Crypto.com Exchange:
- Login/Sign up on Crypto.com/exchange and click on Stake & Earn on the menu bar.
- On the staking page click Stake CRO to receive full benefits.
- A new window opens, enter the CRO amount to stake and click Review Staking. Minimum 10000 required to be eligible to participate in most Syndicate events.
- Verify the amount, duration (180 days) and APR (20%) and Confirm To Stake.
The CRO tokens are staked at 20% interest per year for 180 days and user is now eligible to participate in The Syndicate.
Subscribe to The Syndicate
Crypto.com opens the subscription for 24 hours and allows another 24 hours to accept or reject the final allocation.
Here’s how you can subscribe to the on-going Syndicate event.
- Login/Sign up on Crypto.com/exchange and click on “The Syndicate” from top menu.
- Click on the Ongoing Syndicate and click Subscribe Now.
- A new window opens, enter the CRO amount to subscribe and click Review Subscription. Max allocation limit depends on the total CRO staked.
- Verify the amount Confirm To Subscribe.
Users can subscribe with more tokens within the subscription period.
Claim or Reject The Syndicate Tokens
Once the subscription period is over, Crypto.com exchange will take 24 hours to calculate final allocation. The final allocation will be calculated based on the below formula.
If the final allocation is less than the subscribed amount, in other words, if the event is oversubscribed, the remaining unsold CRO tokens are returned.
For example, at the current price with discount, User will receive 2 syndicate project tokens for every CRO used to subscribe to the event.
If the allocation of the project is 1 million tokens but there is a total subscription of 5 Million CRO tokens, it means only 500k CRO will be used for buying project tokens.
Lets say we have subscribed with 10000 tokens, so
User Final Allocation = 10000/5000000 * 1000000 = 2000.
The user will have an option to accept 4000 Project tokens + 8000 CRO tokens back or reject the offer and get all 10000 CRO tokens back.
In case of the above example, we received an allocation of 135.55 ALGO and 7877.19 CRO were refunded. The Syndicate was oversubscribed by 65.1x.
Offer for New Users
All new users on Crypto.com/Exchange receive 90 day fee free trading plus 2% Deposit bonus in CRO tokens. Use this link to create an account on Crypto.com app and receive $50 reward. Sign up on Crypto.com exchange using the app to benefit from both rewards.
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