Bitfinex’s EOS-based decentralized Exchange platform EOSfinex has announced the creation of the EOS Affiliate Program, a new initiative intended to boos EOS user adoption. According to an announcement circulated to Finance Magnates, the program “allows participants to take an active stake in contributing to the growth of the community and earn a percentage of trading fees through a new revenue sharing scheme.”
Steven Quinn, the platform’s Product Lead, said in a statement that “the EOSfinex Affiliate Program is a community-focused service that promotes important EOS initiatives and projects by giving them another method to generate profit to fund their work... funding is key to the success of early-stage projects. We’re excited to contribute to that success.”
We've launched the @eosfinexproject Affiliate Program! Our revenue share scheme to boost #EOS communities & projects.
Learn more here: https://t.co/QLVk47MzbN Stay tuned in the coming weeks as we introduce new ways to promote and multipliers that increase revenue share! pic.twitter.com/jtYoC0c9Fc — eosfinex (@eosfinexproject) December 18, 2019
According to an official blog post on the launch, the program allows participants to earn 25% of trading fees up to three degrees. Additionally, “commissions earned through the EOSfinex Affiliate Program are paid out in real-time and give EOS projects and community members a transparent and reliable way to earn from their efforts.”
EOSfinex believes that “an affiliate program is the best way to build and grow a community.”
Quinn told Finance Magnates that “EOSfinex also believes thoroughly in the notion that an affiliate program is the best way to build and grow a community, which is why our new program doesn’t primarily target individuals and their social networks, but puts an emphasis on businesses and specifically EOS projects.”
“By focusing on businesses first, the EOSfinex affiliate program is able to provide organizations that, either don’t always have obvious sources of revenue when they start out or even those that are well-established and would like to use programs like this to fund their work and future projects, with a new revenue share plan. This applies to everyone from news outlets, to block explorers, to review sites, community portals, research publications, and businesses.
Steven Quinn, Product Lead at EOSfinex. (Source: Twitter)
”The monetary motivation is actually the smallest piece of the puzzle.”
The announcement of the affiliate program comes after several prominent voices in the crypto industry have come forward to question the ethics of affiliate programs and other kinds of performance-based marketing throughout the year.
For example, earlier this year, Lex Sokolin, global financial technology co-head at ConsenSys, told Bloomberg that exchanges which use affiliate marketing are most often “motivating trading behavior and not just account opening behavior,” which he finds to be ethically questionable.
“By getting a percentage, the referrer wants their friends not just to save, but to trade and to churn. This is why I think it is a poor incentive model and starts to approach multi-level-marketing,” Sokolin said.
However, Quinn told Finance Magnates that he disagrees with this notion, and that “the monetary motivation is actually the smallest piece of the puzzle.”
While an affiliate program “may get peoples’ foot in the door,” EOSfinex doesn’t believe money “is what keeps them around.”
“We’ve seen affiliate programs in the past draw interest by incentivizing users with the notion that ‘it’s a way to earn extra money,’ but in fact, what they were actually doing was providing a way to grow the space as a whole,” Quinn explained.
“This ultimately allows cryptocurrency to become available to more people, which in turn allows more projects to be funded, more technology to be created, and the further advancement towards mainstream adoption to become a reality.”.
Therefore, “while it may get peoples’ foot in the door, we don’t believe it is what keeps them around,” Quinn continued. “As crypto affiliate programs continue to provide more access to the future of finance, the underlying theme should very much be about supporting businesses and communities while developing partnerships for the success of the ecosystem.”
EOSfinex officially launched in July of this year after it was originally announced by Bitfinex in 2018.
eosfinex is here.
eosfinex combines the speed and scalability of EOS with Bitfinex’s industry-leading trading expertise, resulting in an on-chain exchange built around speed, transparency and control. Start trading today on https://t.co/ctqAe9muEb. pic.twitter.com/OwTIMBONBO — eosfinex (@eosfinexproject) July 30, 2019
Bitfinex announced last month that active Affiliate accounts on its own platform, both Affiliates , and referrals, would have access to fee rebates on margin funding earnings.
