In this article, I’ll delve into the topic of crypto airdrops—what they are and how you can position yourself for life-changing opportunities in 2024.
A concise definition of crypto airdrops is that they are incentives provided to crypto enthusiasts who engage in the development of blockchain projects. These projects seek individuals to aid in testing and building their platforms.
Another way to look at crypto airdrops is that they entail the distribution of free tokens or cryptocurrencies to designated wallet addresses as part of a promotional strategy or reward mechanism.
These airdrops have various purposes:
- Promotion: Projects utilize airdrops to create awareness and attract attention to their cryptocurrency or platform. By dispersing tokens, they aim to stimulate interest and potentially expand their user base.
- Rewards: Airdrops can serve as a means to reward existing token holders or platform users for their loyalty or engagement. For example, users might receive airdropped tokens as a bonus for holding a specific cryptocurrency or participating in certain activities within a platform.
- Community Building: Projects frequently employ airdrops to foster community engagement and participation. By distributing tokens among users or contributors, they aim to cultivate a supportive and involved community around their project.
Other things you must know about airdrops
Notably, airdrops aren’t guaranteed for every project and often occur spontaneously. Individuals keen on airdrops must exercise caution, as not all airdrops may be legitimate, and scammers sometimes exploit this concept to deceive unsuspecting users.
If you want to join an airdrop, make sure you’re ready to actively help the crypto project. Only pick projects you believe in and are excited about. Get involved in their community, do tasks, and share their stuff on social media to be eligible for their crypto airdrop when they launch.
In addition, airdrops can take time—some last for months or even a year. Some are free to join, but some need a small investment, usually between $5 and $1000.
For airdrops that involve testnets, participants use free test tokens to evaluate the crypto project without dealing with real crypto/assets. Requesting such tokens can be done via the crypto airdrop faucet page.
Certain projects compatible with Ethereum may require the use of Ethereum Testnet tokens like Goerli Eth (GETH) and Sepolia Eth (SETH). Platforms like testnetbridge.com allow conversion of Ethereum to GETH, and free Sepolia Eth can be mined at https://sepolia-faucet.pk910.de/ if SETH is needed. You can also get BNB testnet token here: https://www.bnbchain.org/en/testnet-faucet.
Airdrops necessitating initial investments typically involve projects that have launched their mainnet, seeking early adopters to test project applications using live cryptocurrency. For these, creating a Binance account and purchasing required tokens is common.
Some projects may require creating a node by renting a server online, which might incur costs up to $100.
Regardless of whether an airdrop is free or requires an investment, promotional activities like sharing referral links, engaging on Twitter, etc., are usually part of the process.
Additionally, it’s essential to note that every airdrop is potential until officially announced. Many projects refrain from hinting before the airdrop launch to prevent bad actors from exploiting multiple wallets.
A hint to recognize potential airdrop projects: many of these projects lack a tradeable crypto token in the market but aspire to be managed in a decentralized manner, thus requiring a token launch.
How Much People Made From Past Airdrops
Airdrops have made lots of folks millionaires just by doing easy tasks and supporting the projects.
The first airdrop I got from Hydro gave me $1000. Uniswap’s first giveaway was 600 UNI, worth about $1800, though I wasn’t able to get it. Optimism and Ethereum Name Services also gave away good amounts, like over $10,000. Arbitrum gave even more to some Decentralised Applications(DApps), up to $1,000,000 for certain DApp founders.
Here are 5 steps to getting an airdrop.