This past week the topic of cryptocurrencies has been prominent in the collective consciousness. Affiliate community traditionally wins from the buzz around such topics because it grows the interest of potential leads and they are readily interacting with the Crypto offers.
One loud voice has been that of Elon Musk, CEO of Space X and Tesla. A very public figure and a big supporter of cryptocurrencies, Elon has been one of the people whose words have a big effect on the price of Bitcoin and, therefore, the rest of the crypto market.
Let’s see what is happening with the crypto industry right now, what it means, and how participants of the affiliate market are reacting to it.
How the influence of public figures affects the crypto trends
Right now many crypto enthusiasts also point to Elon Musk as a trigger for the most recent Bitcoin price crash. On Twitter, he implied that Tesla will soon be selling its BTC holdings. The price of BTC has lost 5% within mere minutes after the tweet was published.
This comes after it was revealed that the company has bought $1.5 billion worth of bitcoin back in February. It was also believed that Tesla will be accepting Bitcoin as a payment which Musk has evoked now. Since then, Elon has also been pushing Dogecoin as a more favorable cryptocurrency and SpaceX made a promise to accept DOGE as payment for the DOGE-1 mission to the Moon. So it seems that Bitcoin is now going to be discarded by Elon Musk and his ventures in favor of Dogecoin which prompted a huge selloff of BTC and the notorious price crash.
Inevitable market correction
Even though there is definitely a correlation between Elon Musk’s stance on crypto and the price of those crypto coins he mentions, another big reason for the price drop is a market correction. In April BTC price has hit an all-time high of almost $64,000. Such spikes are always followed by a drop in financial markets with the price correcting itself to a more average number. These corrections don’t necessarily mean the end of an upward trend and are usually short-term.
When BTC price reached $39,000, about a 40% drop from the previous top, it looked dramatic and caused a lot of traders to panic-sell their holdings. However, it is perfectly normal in a volatile market to see such sharp drops. Experienced crypto traders, perfectly aware of these patterns, started buying the dip to have more profit when the price of BTC and other coins goes back up.
Solomon Brown, Head of PR at Freewallet has been involved in the crypto industry for years. He explains:
“The way that most experienced analysts view this is as a period of great opportunity. There is a daily level of volatility in the market that traders can benefit from. The correction that has taken place has also lowered the entrance threshold for people still looking to get involved in crypto. Corrections happen all the time, in crypto and in traditional assets. Historically speaking, they tend to be followed by movements back upwards.
We also have to view this in its proper context. Bitcoin and other crypto-assets have enjoyed an extended period of pronounced growth. It is only natural that there would be a correction at some point. But where BTC is now, around $40,000 — if someone said a year ago that BTC was going to crash all the way down to $40,000 you would have thought they didn’t know what a crash meant. Overall, the market is in good shape and this is a healthy development.”
Challenges of promoting crypto
In the crypto sphere, profits can be made with various ventures: mining, trading, holding coins that will possibly appreciate in value. However, there is also a huge possibility to reach success by advertising to crypto audiences. During any market fluctuations like the one we are experiencing right now, there is more attention drawn to the topic and, therefore, more opportunities for making a profit on advertising. However, due to the crypto market’s shaky legal standing in many countries and the required amount of knowledge to operate in the space, there are a lot of big powerful players already in the game. Newbies might be excited to enter the space during media hype and hope for the best but that often leads to disappointment.
One of the main channels for running ads are social media sites with big audiences and useful tools to target the right people. However, because of the differing regulations on crypto around the world, it became difficult to use social media channels such as Facebook. While Facebook’s ad policy doesn’t outright ban all crypto and blockchain-related products, in practice, it’s hardly possible to pass the moderation. Other social media sites such as YouTube, Instagram, and Twitter are also wary of advertising financial products to their audiences.
This is the main reason why blockchain and crypto projects often delegate promotion and invitation of new users to affiliates. Traditionally affiliates use Facebook with cloaking solutions, email, push notifications and other media formats, YouTube and even new ways of spamming (which we do not recommend). And many projects have also created their own dedicated affiliate programs to reach the best results with the help of affiliates.
Crypto-related affiliate programs
So, as we've established, many crypto coins, trading platforms, and other crypto projects use affiliate marketing to attract new customers. Affiliates can start advertising these projects by participating in the affiliate program or by getting an offer in a CPA network.
There are a lot of dedicated affiliate programs to choose from. Let’s take a look at the most well-known of them that have legitimate options.
One of the largest cryptocurrency exchanges is also leading affiliate networking in the crypto industry. Binance Affiliate Program offers up to 50% lifetime commissions on every qualified trade. Applying for it is easy if you meet their qualifications. Fitting candidates include individuals with more than 5 thousand followers on social media, leaders of the communities with over 500 members, businesses with over 2 thousand users, and media platforms with over 5 thousand daily visits.
YouHodler created an affiliate program to promote their products such as crypto-backed loans and crypto exchange. They pay their affiliates up to $150 for each customer and don’t have any requirements to join the program.
Instant crypto exchange Changelly offers their affiliates quick onboarding and a variety of tools to track their earnings. Changelly’s affiliate program promises to share up to 60% revenue share from user transactions.
A leader in crypto security and infrastructure solution, Ledger’s affiliate program offers up to 10% commission in Bitcoin. They also grant their affiliates access to ready-to-use promo materials such as banner creatives, links, and videos.
BlockFi offers their users to purchase crypto and earn monthly interest on their deposits. Their Partner Program pays .5% of all deposits directly into the affiliate’s bank account or PayPal.
Crypto CPA networks and what they offer to affiliates
Another way for affiliates to promote crypto offers is to gain access to them via CPA networks. However, it isn’t very simple since CPA networks guarantee their clients, blockchain-related projects, convertible traffic and solid results. This is why networks don’t just give out access to lucrative crypto offers. If an affiliate wants to pick one for realization, they have to prove that they can bring relevant targeted traffic.
There are several methods of payout that exist in this space. The most common are:
CPA. An affiliate will get paid for every deposit made by the user. The deposit amount required for the payout usually equals $250 or more.
CPL. Another one is CPL which requires the user to register for the service. These offers are usually only available to webmasters with an established reputation who bring high-quality traffic.
Hybrid. There are also hybrid models, however CPA networks only uffer them exclusively to trusted affiliate teams.
And here you can check out the most popular affiliate networks with Crypto offers.
How affiliate networks react to the Bitcoin downward trend
And just like in previous years, a sudden drop (which is not so sudden due to the market correction which we’ve discussed) causes a big commotion across the industry. This doesn’t only affect the holders who are rushing to sell off their holdings or buy the dip but also crypto wallets and exchanges that experience unusual volumes that may overload the internal system.
As we’ve mentioned earlier, the interest in crypto only rises when everyone is talking about the most recent fluctuation. Representative of affiliate network Aivix that specializes in crypto offers сommented:
“Crypto vertical is not dependent on the actual trends of the price. What we need is volatility, and the higher it is, the better. Affiliates are steadily interested in our vertical and the rise of crypto only made them come to us more often. But of course, the hype on the market attracts a lot of newbies into the niche.”
Other pros of the Crypto vertical, affiliate network Neogara also have a positive outlook on the volatility:
“No matter what happens to Bitcoin, whether it drops or rises — the interest of affiliates in this niche is growing consistently. Since the crypto vertical implies making a profit from any price movement, these events attract the attention of the general population including affiliates.
Crises, unemployment, inflation will always exist and that is what draws attention to crypto as a source of income. This is what draws affiliates to the crypto vertical as well. And high payout rates and rewards from partner programs entice affiliates, even more, to switch to Finance leaving other niches behind.
But also, our vertical is very flexible. Right now our partners are making profits on the volatility of cryptocurrencies. However, the Сrypto vertical includes more than just Bitcoin, Ethereum, and Litecoin. It is also gold, oil, stocks of large companies whose offers are already present in our CPA network. So even if people suddenly lose interest in crypto, we have other things that will draw users in."
Are Crypto offers suitable for newbies? Not so much
The financial niche is considered to be one of the most profitable by affiliates. It offers many lucrative opportunities with high payouts tied to the merchant’s profit. Since merchants in this niche are dealing directly with the financial transactions of the clients, the affiliate’s profits can be 2-3 times higher than they would be in other verticals.
Due to the crypto’s popularity and active community, it is possible to create a custom sales funnel within the space. Lifetime payments that many affiliate programs offer in this niche can also lead to a stable long-term revenue.
However, leading traffic straight to the registration or deposit page will hardly lead to conversions. Working with crypto-related and financial products requires developing a sales funnel and investing a lot of effort into it.
The main challenge of running crypto offers is that it requires rigorous testing. To test creatives on push notifications, you need to spend at least one price of conversion. This can take an affiliate a sum anywhere between $350 to $1000. So you need a significant budget and it’s not guaranteed that you will end up making any profit. And it’s even more difficult to do on Facebook via cloaking solutions because of many parts of the combination that can be improved: creatives, white page, landing, or pre-lending.
For these reasons, crypto offers are enticing but also difficult to execute successfully. New players will need to put a lot of time and work into building a sales funnel and it’s hard to tell for sure if their efforts will soon pay off. Affiliates in the Crypto vertical have to be prepared to work hard on developing or finding the most effective creatives and messaging, experience conversions with a long flow, and to deal with a highly competitive landscape and expensive traffic.
When crypto and affiliate marketing meet
The crypto industry and affiliate marketing sphere work well together. One party needs to attract new clients and the other is happy to help for a cut of the profit. Just like the expert opinion proves, affiliates don’t care what happens with the price as long as something is happening and people are talking about it. The buzz around cryptocurrencies grows with every fluctuation and provides a lot of opportunities to take advantage of the public interest. All of this means that new offers will keep appearing and new players will keep joining the crypto vertical.
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