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If users are being incentivised to complete a task, especially with money or 'rewards', they can be less motivated than they otherwise would be.
Similar psychology:
Swapping cash incentives for product-based rewards could increase invite conversion rates, as the overjustification effect can make paid invitations feel disingenuous.
Framing referrals as helping a friend, not earning money, might increase how often users share, since the overjustification effect can make paid referrals off-putting.
Leaning on intrinsic motivators may help users sustain effort, as money can trigger the overjustification effect and weaken their natural drive.
Avoiding small cash referral payouts could prevent a drop in the perceived value of your service, as the overjustification effect can anchor its worth to that low sum.