The Rewards and Loyalty system is how Klara gives long term users more value for staying active in the ecosystem. Since Klara is not a traditional bank and not a custodial platform, the rewards are built around onchain participation, spending activity, responsible credit usage, and ecosystem contributions.

The goal of the loyalty system is simple.
Reward real usage.
Reward responsible behavior.
Reward community involvement.
Reward users who help the ecosystem grow.

Below is the full breakdown of how the system works now and what will be added in the future.

9.1 Overview of the Reward System

Klara’s loyalty system is built around points, multipliers, and future token integration. Every action inside the app contributes to your user score, which later determines your tier, perks, and potential token rewards once the token is launched.

Your loyalty score is influenced by:

• daily card spending
• monthly transaction volume
• repayment consistency
• maintaining healthy collateral
• long term usage
• referrals
• ecosystem participation
• early adopter status

The ecosystem does not reward passive holding.
It rewards active engagement.

9.2 Klara Points

Klara Points are the primary unit of the rewards system. You earn points for every meaningful action, including:

Card Activity

• spending with virtual or physical cards
• using your card internationally
• subscription payments
• merchant diversity (unique merchants bonus)

Vault and Credit Activity

• maintaining a healthy collateral ratio
• increasing collateral
• consistent repayments
• responsible utilization

Ecosystem Engagement

• completing in app tasks
• using multi chain deposits
• participating in community events
• joining test features early

Points accumulate over time and never reset unless the user chooses to reset their profile manually for privacy reasons.

9.3 User Tiers

Klara introduces a tier system that unlocks benefits based on your activity.
Tiers are not static.
You can move up or down depending on your usage.

Tier 1: Starter

For new users.
Basic features.
Standard limits.

Tier 2: Active

For users who transact regularly.
Higher reward multipliers.
Early access to features.

Tier 3: Premium

For users with consistent credit usage and repayments.
Better card perks.
Lower fees.
Priority support.

Tier 4: Elite

For users with high activity across multiple chains.
VIP perks.
Exclusive physical card styles.
Access to beta products.

Tier 5: Apex

Top tier.
Meant for the most active and loyal users.
Full multiplier benefits.
Whitelist for token allocations.
Access to private ecosystem drops.

Tiers will auto adjust using monthly activity scores.

9.4 Cashback and Spend Multipliers (Coming Soon)

Klara will introduce a reward multiplier system tied to:

• category spending
• monthly transaction volume
• card type
• selected merchants
• user tier

Examples:

• 1.2x points on travel
• 1.5x points for tech subscriptions
• 2x points on international spending
• 3x points for Elite tier users during peak months

These multipliers enhance long term usage without forcing users into specific spending habits.

9.5 Referral Program

Users who bring in new members earn points and potential token allocations later.

Referral rewards include:

• referral points
• tier boosts
• early feature access
• whitelisting priority

Referrals only count when the new user:

• completes verification (if required)
• deposits collateral
• makes at least one transaction

This prevents fake or inactive referrals.

9.6 Seasonal Rewards and Challenges

The ecosystem will introduce seasonal tasks such as:

• “Spend X across 5 merchants”
• “Maintain 90 percent health ratio for 21 days”
• “Use virtual cards for all subscriptions this month”
• “Deposit from 2 different networks within the same period”

Seasonal challenges reward:

• large point bonuses
• exclusive badges
• temporary card boosts
• special unlockables inside the app
• early access to new features

This keeps the ecosystem dynamic and engaging.

9.7 Token Integration (Future)

Once the Klara Token launches, part of the loyalty system will integrate with it.

Token based rewards may include:

• point to token conversion
• tier based token multipliers
• staking multipliers
• governance voting
• partner rewards
• bonus emission pools

Early adopters with high activity scores will receive priority in token distributions.

This makes loyalty not just cosmetic but financially meaningful.

9.8 Why Rewards Matter

The reward system is not a gimmick.
It is designed to:

• encourage responsible credit usage
• increase long term retention
• reward early adopters
• strengthen network effects
• build a loyal user base
• drive onchain activity
• support token value once launched