The unique feature of the ICONOMI platform is our performance fee. This business model brings fairness to the Strategist - copier relationship, allowing ordinary users to grow into superstar Strategists. Their passive income can turn into a fortune, even becoming a primary income. We initially released the fee during the bear market. We had to wait for quite a while to see it in its full potential on a larger scale. Luckily, the last two quarters brought us just that. We now can see and review what we envisioned years ago. We can take a step back and make the necessary tweaks to make the performance fee model even better.
The Catalyst update brings change to the way Strategists pay performance fees. After the update, Strategists will be excluded from paying performance fees in their own Strategies. The Catalyst update will stay in production until the end of 2021, at which point we will review it again, either extending it permanently or adjusting it based on our data.
A few weeks later, we will also be introducing a new way to grow Crypto Strategies. Our goal is clear; we want to help accelerate their growth by providing additional pocket money for our Strategists to use as promotions.
From the moment the update goes live, the Strategist’s seed investment is no longer a part of the performance fee payment scheme. Through this, Strategists will keep 100% of their performance gains since the capital is not subject to either referral or ICONOMI fees. If you are not familiar with our current performance fee model and splits, please refer to the following knowledgebase article:
This change directly affects the ICONOMI business model, reducing the short-term income. The tradeoff is that the Strategists have more marketing potential. To further this potential, we are also packaging this update with a nifty promotional tool that Strategists can use to spend extra funds to grow their Crypto Strategies.
By being excluded from fees, Strategists will have more money to work with, and they might want to use our revised gift card system, which will allow them to grow their Crypto Strategies with one click! This will come with a guarantee that a user deposited funds into the Strategist's Strategy before the gift card gets deposited.
Do not worry, you will still be able to spend 100% of the money saved by the Catalyst update. There is no need to utilise the growth tools if you do not want to grow and prosper.
With the Catalyst update, we are also publishing a short Crypto Strategy marketing guide to help Strategists grow their Strategies.
The updated performance fee goes live. If everything goes according to plan, the Strategists will notice changes in performance fee payouts at the end of their first collection period.
Other Catalyst update features go live, including Improved Gift Cards, Marketing and Analytics Features, and Guides.