What is a crypto airdrop?

What is a cryptocurrency airdrop?

An cryptocurrency airdrop is a marketing campaign that brings attention to a particular cryptocurrency, protocol or platform. Meaning, newly created cryptocurrencies are (partly) distributed to early users for free. Sometimes resulting in airdropped coins worth thousands of dollars. Crypto airdrops are a solution in a way to reward the user immediately.

“An Airdrop is a marketing campaign to bring a coin to the attention of the general public.”

What is the best strategy for a crypto airdrop?

The main strategy of participating in an airdrop is to try and sell it on the crypto market for a profit. However, it is necessary that the token is ‘listed‘ at an exchange where new speculators can buy this tokens from you. For this you need to have an account on an exchange where the relevant airdropped coin is listed. Registering with an exchange is often a simple task. Please check out our exchanges page for more information.

How much is an crypto airdrop worth?

The value can vary a lot, but it is often between $1 and $20. It’s worth it for 5 minutes of work! One of the most recent airdrops (at the time of writing) is Ontology – ONT.

People who signed up for the ONT newsletter in January received 1,000 ONT tokens. If you sold these in June, you would have made just over $9,000. It sounds bizarre, but that’s how rewarding cryptocurrency airdrops can be. However, it also happens regularly that your airdrop is eventually worth nothing if you do not sell it on time.

What is the origin of crypto airdrops?

After the big “boom” of the crypto market at the end of 2017, Initial Coin Offerings – ICO’s suddenly became a lot more popular and many were added at the same time. Many of those companies wanted to raise a lot of money as quickly as possible, so they started advertising a lot on the internet. When the markets turned out to be uncertain and some people had lost money, providers of advertisements became a lot stricter.

Add providers like Google and Facebook banned cryptocurrency ads, wich has been currently lifted. This ban made it a lot harder for blockchain companies to advertise. Making alternative marketing for crypto companies such as an cryptocurrencies airdrops more attractive. Besides the advertisement part, airdrops are also used to quickly grow the number of community members.

What do I need to participate?

Participating in an airdrop only cost you a few minutes of work! You will receive free tokens or coins and sometomes a certain wallet is required to receive those coins. Following features may be required to participate;

  • Telegram; This is a must-have to participate in most of the airdrops, because most of the communication is through telegram channels.
  • A wallet; You need to store your tokens.
  • Twitter or Facebook profile: Some projects that organize an airdrop ask for likes or shares, this way you provide them with marketing and get a number of tokens in return.
  • Some additional information that often is required is; an email address, a wallet address, a Telegram group to follow and to remain in until the airdrop.
 

Note that most tokens will be sent to your wallet when the Initial Coin Offering “first token release” (ICO) has ended.

Are there any disadvantages of participating a crypto airdrop?

Short answer: No.

However, for those new to this market, we can well imagine that it sounds strange how easy it seems to make money this way. After all, in what world can you receive free crypto that are suddenly worth $9,000?

The value of a token mainly comes from the speculative nature of the markets and the amount of ‘hype’ that is build around the token at that moment. It can be worth a lot, but it can also be worthless.

That said, joining an airdrop only takes a little time (+/- 5 minutes). You do not risk anything at all, the only thing to consider is whether you want to share your email address and your social media profile. If you are not perfectly fine with this, you can choose to create a new email address or social media channel that is not linked with your real identity. 

What should I do if I have not received my crypto airdrop?

In most cases all the airdrops will be distributed fairly. But sometimes situations occur where people will not receive their free coins. In that case, the asked conditions have often not been fully met. For example, when you forget a step in the registration process. However, it is also possible that something went wrong with the distribution of tokens/coins. We therefore advise you to keep any confirmations and evidence in a safe place. 

In the unlikely event that you have not received anything after the distribution of the airdrop, we advise you to contact their customer service wich can be done mainly through the Telegram channels of the coin.

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