The advantage for CR is easy to spot.
They offer a lot of free play and bonuses. They attract a lot of bonus abusers. You won’t make any money on really low value players with this system. That cuts way down on CRs cost of doing business.
It’s really quite simple – if you have good players who spend time and money you end up ahead because all losses are eliminated and the percentages are actually good.
If you have people who play the bonuses and just deposit enough to qualify for the next one, your wagering will be low and you won’t make much.
Bonus players are a drain on the casinos, with this system the affiliate is not rewarded for bringing them in. That all but eliminates one of the main money drains for CR, while encouraging the aquisition of good value players.
Simple, and makes a lot of sense.