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Cryptocurrencies have become a major trend in the last few years. If you’re trying to learn more about cryptocurrencies, you’ve almost certainly come across the term “airdrop”.
Crypto AirDrop is a popular feature for promoting a business in the world of cryptocurrencies. And they are more than just an “airdrop”.
What is an Airdrop
Airdrops are the most popular marketing tactic in the crypto world, involving the distribution of free tokens to users with the objective of promoting a new cryptocurrency. It’s similar to getting a free coffee from a new coffee shop or obtaining a coupon from a new eatery.
This technique was considered to be some kind of guerilla marketing in the cryptocurrency sphere until it rose in popularity in 2017. Lately, more and more projects began to use this airdrop marketing to aim for the growth and adoption of their new cryptocurrency project. Generally, a crypto airdrop is a small amount of a cryptocurrency token or coin sent to users’ wallets.
Different companies use different methods. A lot of companies do an airdrop to a specific blockchain community such as Bitcoin, Binance, Ethereum, Polygon, etc., and send airdrops to users’ wallet addresses.
To receive airdrops, recipients may be required to complete tiny chores, distribute posts on social media sites, join Telegram, Discord, or create blog posts. In other circumstances, in order to be eligible for airdrops, the wallet holder must maintain a minimum balance or possess a specified token.
Type of Airdrops
1. Classic Crypto Airdrop
Everyone in their cryptocurrency journey has interacted with at least one classical airdrop. Generally, a classic airdrop sends a small number of their cryptocurrency tokens to airdrop hunters in exchange for services such as registering for newsletters, creating an account on their website, liking, commenting, sharing their social media posts, and similar tasks.
In some classic airdrops, you may be asked to perform a KYC (Know Your Customer) verification or provide your email and wallet address before you receive the airdrop reward.
2. Vampire Attack Airdrop
Vampire Attack Airdrops are entirely crypto/Web3-related. A vampire attack, at its most basic level, is a strategy for luring people away from one platform and onto another by enticing them with a reward (typically tokens).
The most well-known vampire attack took place in 2020 when SushiSwap built a decentralized exchange that was nearly identical to industry leader Uniswap, with one major difference: users who transferred their liquidity from Uniswap to Sushiswap were granted $SUSHI tokens. In addition to a cut of the trading fees generated on SushiSwap, $SUSHI gave holders governance powers over the site.
What’s the end result? Users moved $1.2 billion in funds to Sushiswap to take advantage of the better incentives being offered, causing Uniswap’s liquidity to temporarily plummet. Uniswap finally recovered and launched a token response, however, a new DEX was bootstrapped in a reasonably short period of time.
This type of airdrop is a little bit different because you don’t need to join their social media accounts, create an account, and do other similar airdrop tasks. In the airhodl, you simply need to hold specific tokens at a specific period of time in order to receive the drop.
For example, a project may decide to do airhodl to all ETH hodlers who held BTC from 1st January. So a snapshot will be taken on the 1st of January, at 5 PM, and the list of all ETH holders based on that period will be extracted where they will, later on, be added in the distribution round where they will receive a token based on their ETH allocation.
Blockchain initiatives use crypto bounties as tokenized incentives and reward mechanisms. Bounty hunters are those who carry out these bounty programs, and they are rewarded handsomely every time they complete them.
They can participate in multiple incentive programs at the same time, however, they usually only pursue the highest-paying ones. Ethereum, for example, includes a bug reward scheme to assist the network in identifying vulnerabilities in its protocol. It encourages people to look for vulnerabilities and awards them for each vulnerability they discover.
The majority of bounties require users to do a specific social media task, for example, to follow their Twitter account, retweet their latest tweet, join their Telegram or Discord, etc.
If you don’t want to deal with the hassle or risk of trading or staking, you can use a crypto faucet to earn modest sums of cryptocurrency. Crypto faucets are websites or smartphone applications where you may earn cryptocurrency by completing easy chores or playing mindless games.
You can do this from the convenience of your own home and at any time.
The tasks are usually very simple where you have to watch some advertisements, play games, or answer quizzes. Also, these aren’t large sums of money; but they can increase your portfolio.
However, over time, these little prizes might add up to a substantial quantity of crypto coins. Consider them like a pail of water collected from a leaking faucet. Over time, if you collect these drops, you’ll have a small stash of coins. This is also how the ‘faucet’ tag is applied to these websites and apps.
Top 5 Reasons to Start Airdrop Hunting
1. Cryptocurrency Airdrops are Free
There are a lot of people who are having a hard time investing in cryptocurrencies so the airdrops can be their last chance of making it into the cryptocurrency world.
Since airdrops are always free, there are a lot of airdrop hunters who try to claim them, and this results in a massive project growth on their social media channels.
2. Airdrops are for Everyone
The majority of cryptocurrency airdrops do not require a Know Your Customer (KYC) verification and this makes them even more popular since more people can join the airdrop and promote it on their social media channels.
Lack of KYC can be a key factor for your success when you create an airdrop. for your airdrop’s success. Airdrop projects have been growing their social media channels much higher than the KYC requirement airdrops.
3. Airdrops Can be the Perfect Entry into Cryptocurrency World
There are a lot of newbies out there who are trying to earn free tokens by completing various social media tasks or by clicking on ads.
Thanks to airdrops, they will have a chance to win some free crypto which will bring them closer to the cryptocurrency world where they will have to learn more about how crypto works in order to make the best out of their own cryptocurrency tokens.
4. Airdrops Can be Completed Pretty Quickly
Another great advantage is that sometimes an airdrop can have two or three social media tasks such as “Join on Telegram”, “Follow on Twitter”, “Join our Discord”, etc.
Those types of social media tasks can be completed within seconds thanks to Skyrush’s social media API which enables users to complete airdrop tasks within two clicks.
5. Airdrops Can Become your Passive Income
There are a lot of crypto airdrop hunters out there who are constantly looking for new airdrops so they can complete them and earn some free crypto.
If you make your airdrop hunter journey a passion, then you can expect some handsome rewards after some time once the airdropped projects become to attract serious investors.
Cryptocurrency airdrops are an absolutely surefire way to make money from cryptocurrencies. The only pitfalls are not to be fooled by scams and not to miss high-quality airdrops. If you want to keep your new, exclusive, and upcoming airdrops up to date, keep an eye out for our website.