(Crypto.com) Crypto.com token CRO crashed more than 11% on Monday after the company revised its rewards on Visa-enabled cards downwards.
Crypto.com said that rewards on lower-tries, including Midnight Blue and Ruby Steel, would earn 0%, while Royal Indigo and Jade Green would earn 0.5%. Icy White and Frosted Rose Gold would earn 1%. The highest tier, Obsidian, would get 2%.
The network further added that the monthly rewards on the lower tiers would be capped between $25 and $50. The higher tiers would carry no rewards.
A further announcement indicated that Crypto.com would cease to offer staking rewards on its cards after completion of 180 days for those who staked on or before May 1, except for the cards in the bottom two tiers.
The revision is a steep cut from the current 1% rate on the lower-tier cards, while the reduction is over 8% for the highest tier, based on the staked funds.
Crypto.com said that other benefits for the cardholders, including cash backs on subscription services, would continue. The network also retained its Earn product, which carries an interest of up to 14% on the digital asset holdings.
The revised prices stirred online criticism, with card users hinting at dumping it altogether. Analysts say reducing the rewards is a blow to the intrinsic value of the CRO token.
CROUSD is down 4.09%
