The Loyalty Program & How It Benefits You. Part 1: Better Borrowing
The borrowing rates provided in this article might be outdated. Please refer to our Borrow page for the most up-to-date rates.
Nexo’s upcoming Loyalty Program, which goes live on December 9, brings positive upgrades to both our borrowing and interest-earning clients. In this chapter of our pre-launch explainers, we will go over the specific benefits of the new rewards system for those of you who use our Instant Crypto Credit Lines.
It’s Now Simpler to Мaintain a Lower APR
One of the key benefits of our new four-tier Loyalty program is that it offsets the volatility inherent in digital assets in the long run. It offers dynamic credit line discounts, giving you preferential interest rates regardless of fluctuations in your NEXO’s value, so long as it does not fall under the 1% ratio required for the Silver tier. As you reach the 5% and 10% ratios for the Gold and Platinum tiers, respectively, your APR automatically decreases. If the NEXO ratio in your wallet drops below the required threshold for each tier, you will simply receive the bonus from the next tier down.
For example, if the ratio of NEXO Tokens in your account against the rest of your portfolio is 10%, you qualify for 5.9% APR via the Platinum tier. However, should this ratio of NEXO against the other assets in your account drop to 9% on a volatile day, you will be charged 8.9% since you would have qualified for the Gold tier on that day. Equally, as the value of your NEXO grows – and it will keep doing so – you will automatically receive the bonuses that come with the higher Loyalty tier.
Nexonomics, Our Token’s Price & Your Credit Line Discount
As you know, the new Loyalty program is a fundamental part of our Nexonomics initiative – a series of upgrades to the NEXO’s tokenomics set to sustainably boost its utility and value. This is especially significant to our loyal clients and token holders.
To qualify for our Loyalty tiers, the ratio of NEXO Tokens against the rest of your portfolio must be at least 1%, 5% or 10%. This means that should our token appreciate in value, you will need far less NEXO to cover the aforementioned thresholds for the Silver, Gold and Platinum tiers. Nexonomics’ positive impact on the NEXO’s price is evident from its growth over the past weeks, already making it easier to qualify for better discounts.
With Nexonomics’ broader roadmap still ahead of us, the Loyalty program’s bonuses are set to become more accessible as time goes by and our token continues to grow.
Accessibility & Inclusivity of the New Loyalty Program
With our new rewards program, you can get bonus rates for the Instant Crypto Credit Lines and the Earn suite for holding as little as 1% in NEXO against the rest of your portfolio. This significantly lowers the threshold for accessing our rewards, making our service more inclusive. Offering Loyalty tiers also gives you the much-needed flexibility to choose a rewards package that best suits your needs, goals, investment style and strategy.
Nexo’s new tiered Loyalty program is expertly geared towards solving even the most minor inefficiencies in our system and making it simpler for you to borrow at lower rates and maintain a lower APR. Looking ahead, this tiered model will allow us to create further perks for clients as Nexo continues to evolve.