How is Referrers Yield calculated?

  • Updated

The total transaction fees for any given month are calculated for all system participants that Kinesis has registered as your referees. This will include fees generated from their Kinesis accounts, as well as any external, standalone wallets that they have linked to their Kinesis accounts.

These are the specific fees that are included to build up that total:

  • transaction fees (0.45%) generated from all Kinesis blockchain transfers of KAU and KAG,
  • KAU and KAG minting fees (0.45%)
  • Kinesis card purchases (0.22%)
  • all SELL & BUY transactions at the Kinesis Exchange (0.22%), including all fiat and cryptocurrencies available on the exchange

All the above actions create the Master Fee Pool, 7.5% of this is then paid out to Kinesis users as Referrer's Yield. All referrers receive their yield from this portion of the fee pool.

In essence, for every 100 KAU your referees generate in fees, within any given month, through the different types of qualifying transactions such as minting, top-ups and trades, you will receive a 7.5 KAU share of it as Referrer’s Yield.

Please keep in mind that both you and your referees will have to be fully KYC-verified, in order to generate a yield.


How does Kinesis convert fiat and cryptocurrency fees into KAU and KAG?

On the Kinesis Exchange, fees are collected in different currencies based on the different tradable pairs. Kinesis collects fees in all fiat and cryptocurrencies available on the Kinesis Exchange, depending on which currency pairs are traded.

At the end of the day, Kinesis converts the fee currency into KAU and KAG proportionately (50:50).


Example 1:

  • 7.5% of all daily KAU fees generated by your referees will then be paid back to you as KAG. The same happens with all KAG transactions, which will be paid back to you as KAG.
  • 7.5% of all daily ETH Exchange fees generated by your referees will be converted to KAU and KAG in 50:50 proportion and then paid back to you. 

This means that if your referee generates $50 worth of eligible fees on ETH transactions, within any given month, you will receive $25 worth of KAU and $25 worth of KAG, based on their exchange rate, at the end of that month. The same happens to all other crypto and fiat transactions across the Kinesis Exchange. 


Example 2: 

Let’s say a referee traded ETH/BTC pair on the exchange, for the value of US $130.00 (subject to fluctuations of conversion rate).

On that day, KAU/KAU is $57.00 and KAG is at $24.

This way the user will have generated 0.00019 KAU and 0.0004469 KAG in Yield payment.


All these calculations occur daily, however, you will receive your yield monthly.


Is there a minimum transactional threshold to generate a yield?

No, there is no minimum threshold. However, only fees that are big enough to place a trade with KAU and KAG (that is, fees that amount to a minimum of 0.00001 KAU or 0.00001 KAG) will be displayed on the Yields Dashboard and counted as a transaction for the daily calculation of the Referrer’s Yield payment. If the fees collected are too small to place a trade with KAU and KAG (less than 0.00001), they will be stored and carried towards the next day, until sufficient fees are collected.