It’s been an exciting journey for Eterbase thus far — from conducting our ICO in Q4 2018 to launching the exchange in June 2019 — we have not slowed down our pace of development.
Today we want to introduce a number of innovative features that will shape Eterbase moving forward and ensure we become one of the most trusted exchanges in the Blockchain space. We feel that for far too long exchanges have not been fair or transparent with listed projects and their users and we aim to change this.
This is a long read, but we feel it necessary to ensure full clarity, So let’s dig in, starting with …
Premium Memberships
Premium Memberships for Eterbase are not necessarily a new concept, however we feel it’s important to understand how they function. They play an essential role in our exchange by incentivising token holders and market participants to use their XBASE/XBASE-B utility tokens in a way that benefits them long-term.
So how do they work?
The concept is simple — any user can deposit XBASE or XBASE-B on the exchange and lock them to become a Premium Member. The tokens can be unlocked at any point in time, meaning that if you do choose to become a Premium Member, you won’t be forced to hold your tokens locked for an extended period of time.
The number of tokens you have to lock varies from 1,000 XBASE / XBASE-B for our Premium 1 Membership, all the way to 5,000,000 XBASE / XBASE-B for our Premium 9 Membership.
The table below shows the membership levels in detail:
These memberships allow users to trade with negative fees, get timely airdrops and have discounted withdrawal fees. At the same time, projects that use some of Eterbase’s services (such as the treasury gateway) are required to become Premium Members.
In the long-run, we expect these membership models to contribute to a large percentage of the circulating supply being locked on the exchange, since every individual Premium 8 and Premium 9 membership requires 0.1% and 0.5% respectively of our total token supply to be locked.
We are constantly working on business development with the aim where possible to create further utility for our token and increased benefits to our Premium Members. Therefore, we will continue to expand the benefits for Premium Members beyond what follows below.
Negative Trading Fees
One of the most important benefits for Premium Members is the ability to trade with negative fees. In order to understand this concept, let’s first dive into how Eterbase (and most other exchanges) implement their fees.
We use a standard Maker/Taker trading fee structure — this means that for every trade that occurs on the platform, we charge a % of the trade amount from the Maker and a % of the trade amount from the Taker.
A Market Maker is the user that places a trade on the order book. By doing this they are essentially providing liquidity to the market.
A Market Taker is the user that fills a trade already present on the order book. By doing this they are essentially taking liquidity off the market.
Normally, because exchanges want to bring liquidity onto their platform, they will incentivise Market Makers by setting lower fees compared to what Market Takers pay when filing a trade.
Eterbase takes this a step forward — starting with our Premium 4 Membership, not only do you not pay anything to trade, but you actually earn up to 50% of the generated trading fees (i.e. the fees paid by the Taker of that trade).
Here’s a breakdown of our fee structure for Premium Members:
Negative trading fees will be paid in the base currency of the trade so users will receive BTC, ETH, XBASE, EURBASE, USDT and EUR on an ongoing basis.
We believe that attracting liquidity to our exchange will be essential to our success — therefore, our negative trading fees system will incentivise heavy traders, market makers and normal users to trade more on Eterbase.
By The Numbers — Negative Fees
One question you might be asking yourself is — How much users can actually gain by trading with negative fees on Eterbase?
Let’s assume that you are a high volume trader, with a Premium 9 Membership (50% trading fee split) on Eterbase.
You place 100 x 10 ETH trades during a day which are being matched by a Taker. Assuming a 0.09% taker fee, during a day you will have generated:
100 x 10 ETH x 0.09% (Taker fee) x 50% (fee split) = 0.45 ETH
If you continue to provide this liquidity during a full month you would end up with:
0.45 ETH x 30 = 13,5 ETH
If you consider that normally you would actually pay to trade, that’s a significant amount which doesn’t take into account any profits made from the trades themselves.
On the majority of other exchanges the fees for the above trades would be roughly 27 ETH. That amounts to a saving of 40.5 ETH per month.
The good news is that you don’t have to be a market maker or a heavy trader to benefit from negative trading fees — an open-source trading bot will be provided free of charge to all users allowing them to trade 24/7, 365 days a year.
Referral Chain Bonuses on Eterbase
As mentioned before, up to 50% of the fees generated by a trade are rewarded to the Maker of the order if they are a Premium 9 Member.
What happens to the other 50%?
Half of it (25% of the total) goes to Eterbase.
The other half (25% of the total) goes towards Referral Bonuses. What does this mean?
In order to incentivize existing users to bring more people to the platform, we are implementing a 5 chain referral system. This means that 5% increments of the Referral Bonus mentioned above are distributed to the chain of traders who have referred the trader who pays the fee.
Sounds too complicated? Let’s illustrate it with some basic images.
Let’s assume Person A refers Person B, who in turn refers Person C all the way to the 6th one in the chain — Person F. If Person F is responsible for 100 EURBASE in trading fees during a period of time, each person across the referral chain will automatically receive 5% of that — in this case 5 EURBASE each (A-E).
This is just a simple example that takes only one person from the chain into account.
But what if each person in the referral chain of Person A is responsible for 100 EURBASE in fees being added to the referral pool?
In this case, the users above will receive 5 EURBASE from each person down the chain, thus compounding the rewards they receive from the Referral Bonus Structure. There is also no cap on the amount of chains a user can have ensuring this is one of the strongest referral schemes available from any exchange.
The 5 level Referral Chain Structure incentivizes our users to bring on as many people onto the platform as possible — the more branches they create for themselves, the more they can capitalize on referral bonuses.
It will also encourage them to bring users who manage large trading volumes (in order to maximise the potential referral bonus) therefore acting as another important catalyst for liquidity joining our platform.
Airdrops — EURBASE, General & Treasury
As part of rewarding our Premium Members, we plan to offer 3 types of airdrops on a consistent basis.
Let’s explore each below:
- EURBASE Airdrops
EURBASE (EBASE) is one of our staples at Eterbase — the first anti-inflationary stable-coin 100% backed by EUR deposits and partially BTC and other cryptocurrencies. We have recently published a full legal opinion letter from the world renowned legal team Allen and Overy confirming its status as a Utility Token. Moving forward, there will be ongoing audits from one of the top 4 Accountancy firms confirming it is 100% collateralised at all times.
As such, we will airdrop daily amounts of EURBASE to our Premium Members, with up to 1 EBASE per day for the Premium 9 Members as a starting point.
Don’t worry if you are stuck between levels — to ensure our Premium Members receive maximum benefits we will allow additional accounts for staking. For example, if you hold 3 million XBASE, you will be able to utilise 2 additional accounts and receive the full benefits that come with them.
The airdrops to Premium Members, introducing EBASE as a main trading pair on Eterbase and integrating it on additional exchanges and wallet providers (some of which have already been announced) will promote the deeper adoption of EBASE within the wider crypto ecosystem.
2. General & Treasury Airdrops
Eterbase and its partners will also conduct airdrops of other tokens:
- Upon listing onto the exchange, new projects will be required to provide an amount of their tokens which will be airdropped to Eterbase Premium Members
- Eterbase Treasury Gateway partners will provide the fee for using the service in their native token which will be airdropped to Premium Members
How will the airdrop amounts be determined?
Based on the tokens received, we will calculate a base airdrop amount for our Premium 1 Members, after which a multiplier will come into effect for each subsequent Premium Membership level.
Here’s a breakdown of multipliers for both Generic & Treasury Airdrops:
Wait a minute, you didn’t mention anything about additional benefits from the Treasury Services before, what’s that all about?
Eterbase Treasury Gateway
There are a lot of blockchain projects who sell B2B services and have a token that was designed to be used as a payment for those services.
However, there is a lot of unnecessary friction within the current model they employ:
- Their clients (non-blockchain businesses) need to convert FIAT to Crypto, deposit it onto an exchange, buy the project’s native token and then pay for the service
- OR the project needs to have a Corporate account which they can use to receive the payment and then execute the entire process from the above point themselves.
The first situation makes it incredibly hard for the project to actually pay for these services; in order to bring adoption to blockchain services, the process needs to be as seamless as possible.
The second situation is difficult for a lot of projects because regulatory environments across the world make it hard to operate these transactions via traditional banking methods. The vast majority of banks are closing the doors to crypto projects.
The question then becomes — How can you handle these transactions for the client in the simplest possible way, utilise the project’s token and be 100% transparent?
That led us to creating the Eterbase Treasury Gateway. We are uniquely positioned in the blockchain space to bridge this gap because of our:
- Monetary license — via Majestic Omnibank Payment Platform
- Corporate, Crypto Friendly Fiat/Sepa accounts
- Synthetic IBAN accounts on Exchange
- Direct FIAT pairings of tokens
- Negative trading fees reducing costs
Eterbase will act as a middle-man for these B2B transactions:
Enterprises that need to pay projects for their services send a FIAT payment directly to the project’s Corporate IBAN account with the funds showing on the Exchange account
The project can then seamlessly buy back the required amount of tokens on behalf of their client according to their token metrics, and then forward these to a burn address or to their reserve fund as per their tokenomics
This provides a seamless experience for the client, it’s extremely cost-effective for the project (both in terms of time and money) and it’s 100% transparent for communities to oversee.
“Great idea, but how does this benefit Premium Members?”
Glad you asked. It goes without saying that Eterbase’s long-term success will impact all of its token holders — having additional revenue streams & forming partnerships with important blockchain companies that have adoption and real products will significantly benefit us.
However, there’s a lot more to add:
- Locking XBASE: The project will need to buy & lock 1,000,000 XBASE / XBASE-B in order to benefit from the treasury services, therefore becoming a Premium 8 Member (and locking up 0.1% of total supply in the process)
- Quality Projects Onboarded: Our goal is to bring 50 projects within the next 6 months, thus locking 5% of total supply. These are all projects that strive for real adoption and which already have paying clients. They will bring enterprise volume to the exchange, along with new users from their communities who will prefer to trade their tokens on the exchange where enterprise transactions are actually performed. Following intensive market research we are confident of reaching our targets and will be announcing our first partners in the near future.
- Airdropped Listing Fee: The project will also have to provide us with the equivalent of $7,500 in their native token. These tokens will be airdropped to all Premium Members as mentioned in the previous section. Our target of 50 projects within the next 6 months will bring a flow of quality airdrops to all Premium Members.
- Cross-Marketing Opportunities: More than our customers, we view projects using our Treasury Gateway as our partners. By forming deeper relationships with them, we will strengthen each of our communities & share news and updates across media channels.
In order to increase adoption of the Treasury Gateway and reward the wider community, we will be offering a 10% referral reward (out of the $7,500 native token payment) to the people that introduced the onboarded project. This is your chance to help Eterbase grow whilst being rewarded with tokens from projects with real use cases.
Withdrawal Discounts & Limits
Eterbase will have a 1,000 EUR withdrawal limit for non-KYC’d users.
For Premium Members that have passed KYC, the withdrawal limit will stand at 100,000 EUR per day. They will also benefit from withdrawal discounts that will range from 10% on the Premium 4 tier, to 50% for Premium 9 Members.
And of course all users will benefit from cost free deposits and direct fiat withdrawals with a fixed fee of $0.8
For a shorter visualization of all Premium Membership benefits, view our infographic here — https://t.me/EterbaseExchange
We will also be creating a Premium Membership Benefits video which will follow after the new UI and dashboard is released next few days.
Open an account and start trading at — https://eterbase.exchange
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Get started using Eterbase’s new asynchronous Javascript API at: https://github.com/jaggedsoft/eterbase-api
