Like most big companies, webnovel will give you a contract that favors them. The overall idea behind the contract is a standard publisher contract, but due to the online-nature of the publishing, they provide you with a lot less in regards to marketing or advertising.
You should be aware that - depending on the contract - you will forfeit all rights to your own work. As I said, this is more or less normal for publishing, but it is something to keep in mind. A lot of webnovel authors (type, not company) write a story they are really attached to and this can be a really big breaking point for them.
If it is a story you aren't really attached to and you just want to make some money on the site, it can be an option to take the contract if it fits with the target audience over there. In most other cases, patreon or even self-publishing might bring you more money in the long run if you put in the work.
The contract isn't anything shady in itself, it just isn't a really good deal for most writers as the payment is relatively low compared to the amount of work that has to be done by the author and the low value you get in return. Especially western authors who want to have more than the bare minimum to live will struggle a lot.
In all honesty, I personally would never take the contract, because I would have to write myself to death to get anything remotely close to my normal day job wage. I would rather write at my own pace and make some money through patreon or amazon compared to selling my story away for that little chance of making enough money...