Decentralised finance (DeFi) is a newly emerging financial system built on blockchain technology. This system uses automated programmes which take on the role usually played by banks. DeFi applications and protocols allow users to interact directly with financial services without going through a centralised institution.

Some common examples of financial services offered by DeFi include:

The DeFi Yield feature in the Crypto.com App lets eligible users deploy crypto assets to participate in DeFi protocols for rewards. DeFi Staking is part of the DeFi Yield feature that allows users to stake DeFi protocols’ native tokens in exchange for periodic rewards determined by the protocol’s smart contract.

Benefits of using Crypto.com’s DeFi Staking include:

*Reward distribution is determined by the blockchain protocol

Both Staking (PoS) and DeFi Staking involve locking up crypto assets to earn periodic rewards; however, they serve distinct purposes and operate within different ecosystems.

Staking (PoS) is primarily a security mechanism for blockchains running on a Proof of Stake consensus. Users stake to validators who earn rewards for helping to secure the blockchain network by validating the transactions.

DeFi Staking is a way to earn rewards by participating and contributing to decentralised finance projects. Rewards are generated from protocol-specific activities like revenue sharing or governance.

All verified Crypto.com App users who are not citizens or residents of the following jurisdictions are eligible to use the Staking feature:

Please be aware of the key risks associated with DeFi Staking:

Liquidity Risk and Market Volatility

If you have subscribed to a fixed staking period, you will not be able to access your staked virtual assets before the staking period ends. Users are advised to consider the staking periods carefully ahead of locking up virtual assets, as the value of the virtual assets may fluctuate during the lockup period.

Technical Risks

Error or security failures like smart contract failure, hacks, network critical delays, and exploits are potential technical risks. This may result in a loss of data or access to your staked virtual assets.

Please note that the Crypto.com App only provides a pass-through service to facilitate your on-chain token transfers to and from DeFi protocols for you to participate in DeFi Staking. We may engage third-party service providers to provide this administrative service. It is important that you conduct your own due diligence on each of the DeFi Staking protocols, risks, and mechanics, and consult your advisors before making any decision, including whether to participate in DeFi Staking and related transactions. We will only act on your instructions and will only transfer your tokens to and from DeFi protocols upon your express instructions. We do not assume any responsibility or liability for the performance, rewards, failure, reliability or consequences of any third-party services and/or any of the DeFi Staking protocols.

The following DeFi protocols and underlying tokens are supported:

For the estimated rewards rates, please refer to our website for the most up-to-date information. Reward rates shown are based on the estimated reward from the DeFi protocol, exclude service fees charged by Crypto.com, and are not final. The actual reward rates may differ, are not guaranteed, and are subject to change depending on the DeFi protocol, which may fluctuate. Rewards must exceed 0.00000001 of the token to be credited.

The reward rates provided are based on the estimated reward from DeFi protocols, excluding service fees charged by Crypto.com, and are subject to change.

The actual rewards will only be disbursed to you after they have been received from the blockchain protocol or harvested on-chain. Crypto.com does not guarantee any return or any specific reward rate. Rewards are entirely dependent on the respective DeFi protocols. Do note that only virtual assets that are under the ‘Staked’ status are eligible for rewards.

Rewards can be distributed up to three times a week, depending on the blockchain protocol. Rewards must exceed 0.00000001 of the token to be credited.

No, the staking duration cannot be changed.

Service fees charged by Crypto.com are deducted from your staking rewards. The rewards distributed to you are already net of fees.

Our service fees per virtual asset are as follows:

Crypto.com reserves the right to update the fees from time to time at our sole discretion.