gTrade’s Referral Program Launch

Another Avenue for Shared Revenue!

Hi, gTraders!

In the last article, we went deep on our vision and path for a truly decentralized gTrade. A big part of this is incentivizing different parts of the project to be user-run/owned. You’ll recall from the last article that there are five avenues to earn Real Yield on gTrade outside of trading:

1. Provide liquidity to the $DAI Vault → get rewarded in $DAI
2. Stake $GNS → get rewarded in $DAI
3. Provide liquidity in the GNS/DAI Pool → get rewarded in $GNS
4. Hold a Gains NFT and run a bot that executes limit orders and liquidations on gTrade → get rewarded in $GNS
5. Be part of the referral program → get rewarded in $GNS (happening now!)

Of all five ways to earn a yield on gTrade, this method allows you to earn purely from leveraging your network. You don’t need to provide liquidity for example — but you DO need a community of traders or a direct connection to someone who has one.

We’re offering a referral program for the 2 following reasons:

1. Organic Growth — Incentivize the community to leverage its network to increase the number of gTrade users.
2. Inclusivity — You don’t need to be a dev, liquidity provider, or pro-trader to benefit from being part of the gTrade community. We want to share earning potential with as many user types as possible.

Rewards per asset class

Understanding gTrade Referral Fees requires you to understand the (i) maximum leverage per asset class and (ii) the fees for opening a trade per each asset class. Unlike crypto and forex, stocks are divided into 3 tiers based on volatility, each with their respective open trade fee.

Open Trade Fee Per Asset Class (With Max Leverage)

1. Stocks Tier 1 Open Trade Fee ➔ 0.12% (100x max lev)
2. Stocks Tier 2 Open Trade Fee ➔ 0.2% (50x max lev)
3. Stocks Tier 3 Open Trade Fee ➔ 0.32% (30x max lev)
4. Crypto Open Trade Fee ➔ 0.08% (150x max lev)
5. Forex Open Trade Fee ➔ 0.008% (1000x max lev)

The higher the maximum leverage per asset, the smaller the Trade Fee. The reason both of these numbers are important is that the Referral Fee is a subset of the Open Trade Fee.

Where does the yield come from?

Every bit of revenue we share with our users on gTrade is Real Yield, and the referral fees are no exception. Just like the GNS/DAI LP rewards and the NFT bot rewards, the referral fees are paid in minted $GNS Tokens, while the equivalent amount of DAI goes into the vault to support its collateralization in a capital-efficient manner.

They are taken from the Project Fund and Dev Fund (50% / 50%) within the Open Fee, corresponding to between 22.5% and 30% of their combined value depending on the opening volume the ambassador has brought to the platform.

Stocks Tier 1 Open Trade Fee (0.12%)

• Project Fund (0.05%)
• Dev Fund (0.05%)
• If referral link used: 0.025% ➔ 0.033% is given to the referrer (taken equally from project fund and dev fund rewards).
• Limit orders / Market orders: NFT Bots / Single Sided Staking (0.02%)

Stocks Tier 2 Open Trade Fee (0.2%)

• Project Fund (0.09%)
• Dev Fund (0.09%)
• If referral link used: 0.044% ➔ 0.059% is given to the referrer (taken equally from project fund and dev fund rewards).
• Limit orders / Market orders: NFT Bots / Single Sided Staking (0.02%)

Stocks Tier 3 Open Trade Fee (0.32%)

• Project Fund (0.15%)
• Dev Fund (0.15%)
• If referral link used: 0.074% ➔ 0.099% is given to the referrer (taken equally from project fund and dev fund rewards).
• Limit orders / Market orders: NFT Bots / Single Sided Staking (0.02%)

Crypto Open Trade Fee (0.08%)

• Project Fund (0.03%)
• Dev Fund (0.03%)
• If referral link used: 0.015% ➔ 0.02% is given to the referrer (taken equally from project fund and dev fund rewards).
• Limit orders / Market orders: NFT Bots / Single Sided Staking (0.02%)

Forex Open Trade Fee (0.008%)

• Project Fund (0.003%)
• Dev Fund (0.003%)
• If referral link used: 0.0015% ➔ 0.002% is given to the referrer (taken equally from project fund and dev fund rewards).
• Limit orders / Market orders: NFT Bots / Single Sided Staking (0.002%)

Referral Fees are calculated based on the total position size of each trade opened, which means that the snapshot is taken at the start of new trades once traders open a position.

Referral rewards have nothing to do with how good your traders are at trading (how much they win or lose), and are purely calculated based on the open position sizes from everyone that uses your link.

Why do Referral Rewards have a range?

The Rewards for every new referral link start at the low range (the number on the left) and increase as the total opening volume referred reaches $10M. After the first $10M, the Rewards are capped at the higher end of the range forever (the number on the right).

Reward Increase from 0 → $10M in volume:

• Stocks Tier 1–0.025% ➔ 0.033%
• Stocks Tier 2–0.044% ➔ 0.059%
• Stocks Tier 3–0.074% ➔ 0.099%
• Crypto — 0.015% ➔ 0.02%
• Forex — 0.0015% ➔ 0.002%

Let’s use crypto as an example. For crypto, referral rewards are between 0.015% and 0.02% in open interest trading volume for each link. This means:

• Rewards average out at $1,750 in $GNS (0.015% ➔ 0.02% average = 0.0175% of $10M).
• Every succeeding $10M in volume onwards earns $2,000 (0.02% of $10M), where rewards stayed capped at 0.02%.

Ambassadors and Allies

Now that we’ve discussed where fees come from and the earning potential, we can talk about how the pie is split. The GNS Referral Program is composed of Ambassadors and Allies.

Ambassadors each have their own special referral link where their total referred opening volume is tracked. Ambassadors have requirements (which will be discussed below) but anyone can be an Ally!

All you have to do to become an Ally is to refer a suitable Ambassador! Allies get 10% of all Reward fees from an affiliate link, while Ambassadors get the lion’s share of 90%. However, it’s possible for Allies to refer multiple Ambassadors, so those 10% rewards can stack.

Before we get into the requirements for becoming a gTrade Ambassador, let’s put everything together with an example of how the referral fee actually works in action.

Rewards in Action

Check your referrals revenue dashboard at https://gains.trade/referrals.

Let’s say you become a gTrade Ambassador due to your friend’s recommendation. Your friend then becomes an Ally and he earns 10% of what you make from your link. Here’s how the Rewards would look like in practice:

1. One trader opened a crypto trade using your link.
2. He puts $2,000 as collateral on 75x leverage. His Open Position size is $150,000.
3. The gTrade Ambassador earns 0.015% of $150,000 = $22.5 on this first crypto trade since he hadn’t refered any volume yet.
4. For the next opened trade (on crypto) he will earn 0.015 + (0.02–0.015) * 150,000 / 10,000,000 = 0.015075%.
5. The rewards for this opened trade are therefore as follows:
   - 22.5 * 0.9 = $20.25 in $GNS Tokens (90%) for the Ambassador
   - 22.5 * 0.1 = $2.25 in $GNS Tokens (10%) for the Ally
6. The reward is the same if the trader closes his trade at a profit or gets liquidated — it is distributed when opening the trade based on initial position size.
7. Ambassadors who weren’t brought by Allies keep 100% of their earnings.

gTrade Ambassador Requirements

Becoming a gTrade ambassador is a privilege that is earned. The gTrade Team wants to create the fairest and most user-friendly decentralized leverage trading platform, which requires an alignment of incentives and values.

The position of gTrade Ambassador can either be:

1. Applied for
2. Recommended through an Ally

To that end, we’ve created some guidelines to be eligible for becoming a gTrade Ambassador:

1. Value Alignment: 100% non-shill content. No harassment or hate speech.
2. ≥ 50% of Ambassador’s Content is related to either (i) DeFi or (ii) Trading
3. Twitter is active and displays consistent engagement
4. YouTube is similarly active and also displays a consistent level of engagement

You can find the exact details about the requirements on the application forms below:

Apply to become an Ambassador.

Become an Ally by referring an Ambassador.

Conclusion

A Real Yield user-owned platform like gTrade is a system composed of checks and balances. Liquidity Providers, $GNS Stakers, NFT Bot Runners, and now referrals all need to be rewarded in a balanced manner to ensure that there are always willing participants for every part of the gTrade ecosystem. A decentralized platform owned by its users requires balanced incentives.

We are glad to create this new opportunity incentivizing our community and other communities to bring new users to the gTrade platform using a well-thought set of incentives.

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