When most people hear KuCoin, they think of the cryptocurrency exchange that launched in 2017. This exchange has been gaining incredible traction mainly due to their great business model. The exchange charges an extremely low 0.1% trading fee, but to make it even better, they give 90% of all fees charged back to users. This is done in the following form: 40% in the form of a referral program and 50% to Kucoin Shares (KCS) holders called the “Kucoin Bonus”. To learn about how to you can earn free crypto by referring people to Kucoin, click here.
How does the Kucoin Bonus work?
Well, it’s pretty simple. Every time someone trades a cryptocurrency pair, ie. buying LTC for BTC (LTC/BTC) or selling OMG/BTC, half of the .001 (0.1%) fee paid by both parties goes into the Kucoin Bonus fund for that day. Each currency has its own fund since the fees paid for trading are based on whatever currency you’re buying or selling.
At the end of the day 0:00 (UTC+8), a snapshot is taken of everybody holding KCS on Kucoin. This snapshot is used to proportionally divide the previous day’s fees. So if there are 100 Million KCS coins in circulation at the time of the snapshot and you own 1 Million, you would get 1% of the fees charged on the entire platform for the previous day.
And since the fees are distributed based on each cryptocurrency, you essentially get paid in a bunch of different currencies (this will increase as more coins are added to the exchange, as they expect to offer 1000 coins by the end of 2018).
You can see how this “dividend” would start to add up since the Kucoin Bonus is distributed DAILY. Also, as KuCoin becomes more popular, handles more trades, and adds more cryptocurrencies to the platform, you can expect the dividend payment to increase since they will be bringing in more in trading fees.
What are you waiting for?
Note: Based on my experience, the confirmation email when signing up could take up to 15 minutes and will sometimes end up in your “Spam” or “Promotions” folder.