Alternative Way to Maximise Profits with CRO and the Syndicate, without participating in the Supercharger event

Alternative Way to Maximise Profits with CRO and the Syndicate, without participating in the Supercharger event

By darren242 | Cryptaysia | 30 Sep 2020


So Crypto.com has announced that the CRO flexible earn had dropped from up to 14% to 5% (12% to 3% if you did not stake 10,000 CRO), so that users will not capitalize on the min-max strategy of staking with high rates and subscribing to the Syndicate. It also means more people will lean towards the new Supercharger event, where you earn rewards by providing liquidity to mine tokens listed on the Supercharger, which is the UNI token.

You can read more info here if you haven't read the blog about Supercharger and how your rewards are calculated.

 

Honestly I'm not a fan of this, because I don't own a lot of CRO myself, so I don't see much benefit in using the Supercharger as compared to flexible earn of at least 12%. To prove this, I put a calculation as to potentially how much you can earn using Supercharger.

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So I calculate this on the best case scenario, where you contribute and hold your CRO for 30 days without taking them out, same goes to the total allocation. The total participation amount from $15 million to $250 million is referenced from Denome's video. Noticed that I did not calculate the total liquidity with reference from the blog, but instead I calculate based on the user's allocation and the total allocation. So if let's say you contribute 1000 CRO to the liquidity, hold it for 30 days and for 24 hours without taking them out, the highest reward that you can earn based on 100 million CRO contributed to the event is $5 or 1.25 UNI (I assume 1 UNI = $4). Convert this to APY, and assuming that constantly you're getting the highest reward for the next 12 months, the APY is around 40%. However, due to price fluctuations of the UNI token, the higher allocation from the users who contributed to the event and at which time you deposit and withdraw your CRO tokens to and from the event, expecting that your APY will definitely be much much lower. Similar to what Denome has mentioned in the video, if the whales start to pile up their tokens on the event, your rewards will diminish even more. Compared to the previous Flexible Earn of 12% to 14%, you can see that its not much of a big difference, and you're getting fixed rewards using the Crypto Earn constantly every week. To decrease the rates even more is such a bummer.

So what other solutions out there? Well, you can earn a minimum of 14% to 16% interest rewards by locking your CRO for at least a month, which means you won't be participating in the Syndicate events that often. There's no difference between soft staking it in the exchange or Crypto Flexible Earn now. You can try DeFi swap, but you won't be getting much rewards if you don't have a lot of CRO tokens.

The alternative and best strategy that I found at the moment is to sold your CRO, convert to any other token that you wish, and put into high interest platforms. For me personally, I have moved my remaining CRO tokens to earn USDT and deposited them to Celsius to earn interests of up to 15.89% in CEL token. I feel like this strategy is a safer option because you're earning weekly compounded interests on a high APY rate in Celsius, no lock-up periods, and also the price of CRO is going down lately. When the syndicate starts, you can deposit your tokens back to the Exchange, meet the trading limit and then subscribe to the Syndicate again. The only downside is Crypto.com's withdrawal fee, which is $5 for all stablecoins (equivalent to around 33.33 CRO). Click here if you haven't register an account in Celsius.

Overall, I really don't like where Crypto.com is heading because their rewards are benefiting the rich and whales more than the average or low income users. Like many others from the APAC region, I haven't got my card yet, which means I don't have much utility in the Crypto.com space, except that I'm still earning daily interest by staking in the Crypto.com Exchange. Probably in the future I might consider moving out from Crypto.com entirely. Comment down below if you have any other great solutions that you want to share.

 


darren242
darren242

I'm Darren, from Malaysia. A nerd who is into cars and everything including Cryptocurrency and DeFi.


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