Fluidity Money, a “spend-to-earn” decentralized finance (DeFi) protocol, has partnered with Request Finance, an enterprise crypto payments app, to develop a cashback program.
Regarding the Program
Businesses may reward cryptocurrency-paying consumers via the cashback scheme. When businesses accept cryptocurrency payments, they also can benefit from cashback benefits. Both the sender and the receiver may earn stablecoins whenever a payment is made using the app. After each payment, the incentives will be allocated at random into their wallets.
For instance, when a smart contract audit company pays its invoice in Request Finance using a Fluidity-wrapped stablecoin, both the audit business and its client might get cashback incentives. Cashback benefits might be as little as a few cents or as much as hundreds of dollars for each transaction, depending on the total amount of payments made during the whole program.
Stablecoins are now used to pay out the cashback rewards. Nevertheless, Fluidity Money intends to extend its selection to other loyalty programs, which might result in the future distribution of other sorts of incentives like non-fungible tokens (NFTs).
According to what the NFTs stand for, it would be possible for cryptocurrency payment applications like Request Finance to give incentives like tickets, token-gated experiences, merchant credits like air miles, digital collectibles, and more.
“Request Finance helps thousands of enterprise teams and DAOs use stablecoins easily. We wanted to work with them to introduce this cashback program as a fun way of rewarding people for using stablecoins for payments”, said Shahmeer Chaudhry, CEO at Fluidity Money.
“Cashback and loyalty reward programs have proven incredibly effective at driving the adoption of Web2 digital payments. Google Pay’s 2019 #StampwaliDiwali campaign in India, and the 2022 Huat Pals campaign in Singapore are great examples of this. We believe that a similar strategy can help to drive the adoption of crypto payments”, said Vijay Garg, Founder at MapleBlock Capital.
Unique Crypto Cashback
With cryptocurrency, cashback benefits are nothing new. The majority of these cashback programs, however, are often linked to credit cards, which generally fund loyalty reward programs via excessive interchange fees that retailers pass on to customers and exorbitant overdraft interest rates ranging from roughly 15% to 27%. Also, the fact that the rewards are sent out in very volatile currencies typically explains why these cards promote apparently enticing crypto cashback rates.
As an alternative, Fluidity Money offers cryptocurrency payment programs like Request Financing, a revolutionary method of financing incentives that pay out in stablecoins, without charging consumers or businesses exorbitant fees.
How it works
Stablecoins like USDC and USDT may be deposited into the Fluidity Webapp to acquire wrapped stablecoins, or “Fluid Assets,” for Fluidity Money. The stablecoins must be wrapped using Fluidity Money for the cashback benefits to be created. A particular stablecoin, such as USDC or USDT, in a quantity equal to that stablecoin, must be entered into a smart contract that has been audited by Bramah Systems in order to mint that stablecoin.
The stablecoins that have been deposited are then loaned to other DeFi protocols like Compound. The cashback bonuses are financed with 80% of the return produced. The cashback rewards will grow as more individuals utilize Fluidity Money’s wrapped stablecoins.
