Every bull run in the crypto market generates a lot of investor wealth myths. Although it has entered a bear market, the crypto market is still in a period of popularity, and we believe that more wealth myths will be born in the future.
There are many ways to obtain high returns in the crypto market, among which, prior to the issuance of project Tokens, planning for future airdrops is one of the important means. Whether this investment method is sustainable or not depends on understanding the significance of project airdrops.
Users are very important to all projects, and there is a positive circular relationship between users and tokens.
For early users of the project, the expectation of future airdrops is an important means to attract them in the early stage. With the accumulation and development of early users of the project to a certain extent, it is necessary to increase the number of users through fission, which requires increasing popularity and generating a huge communication effect. At this time, by rewarding past users through airdrops, creating a wealth effect, it will be possible to achieve a qualitative increase in the user base.
In addition, with the development of blockchain projects, various applications have certain thresholds for ordinary users, and improving users’ awareness has become an important condition for developing users. The expectation of airdrops can promote users to conduct in-depth research and participate in the project, which will promote the public’s awareness and interest in the project. Curiosity killed the cat, but it can also feed fat cats.
1. Airdrop history and rules of top projects
2. Project airdrop trends and how to participate in the future
3. Analysis of top airdrop projects in the future
1. Airdrop history and rules of top projects
7 O’Clock Capital sorted out during the investment and research process that in the last round of bull market, the four largest phenomenal airdrops were Uniswap, dYdX, ENS, and Optimism. All are unprecedented. Next, we try to predict future airdrop opportunities by analyzing the laws of airdrops of these projects.
1) In the early days of the DeFi outbreak, two DEXs competed for liquidity, and the UNI milestone airdrop was born
On November 2, 2018, the basic application Uniswap, which has a profound impact on the future DeFi, was launched. By mid-2020, when the market is active, Uniswap can generate millions of dollars in handling fees every day to distribute to market makers. But at this time Uniswap did not have its own Token.
In late August 2020, a group of anonymous developers suddenly released Sushiswap, which has almost the same codebase as Uniswap, but has two key new features “governance tokens and updated staking rewards”, and a protocol war kicked off. Sushiswap distributes its governance Token through users’ pledge of Uniswap’s LP, and finally successfully migrated Uniswap’s TVL worth 810 million US dollars, accounting for about 55% of Uniswap’s liquidity, and completed the plunder of Uniswap’s capital pool.
On September 17, 2020, Uniswap released its governance token UNI when it needed to compete with Sushiswap externally and DAO governance internally. Based on the snapshot on September 1, Uniswap airdropped 110 million UNI to 251,754 addresses. Among them, 10.06% of the total amount was airdropped to 250,000 early users, 4.92% of the total amount was airdropped to 49,192 early LPs (liquidity providers), and 0.02% of the total amount was airdropped to 220 SOCKS holders, each of whom once called Addresses that have passed Uniswap v1 or v2 contracts can apply for 400 UNI to reward their past contributions.
The way of UNI airdrop is relatively rough, and there are not many restrictions on interaction. This is because, on the one hand, the number of DeFi users was small at that time, and on the other hand, the awareness of batch address interaction in order to obtain airdrops had not yet been formed.
The airdrop of UNI originated in the early days of DeFi, and its form of airdrop has a milestone significance. First, it has stabilized its leading position in DEX, and secondly, the huge spread effect has attracted more users in the crypto market to start paying attention to DeFi. In addition, the airdrop is also a reward for the exploration spirit of early DeFi users, which provides motivation for more people to participate in the new development of DeFi in the future.
2) During the climax of DeFi, dYdX, the leader of futures derivatives deployed by Layer 2, started an epic airdrop
From 2020 to 2021, DeFi has experienced rapid development. During this period, the application layer dApp broke out, the leaders of each track were basically established, and the decentralized stablecoins, trading platforms, and lending applications were gradually familiar and applied by users. At this time, the demand for more users to understand and participate in the decentralized futures derivatives track is increasing, but the high gas fee after the rise of DeFi has severely limited its development.
In February 2021, dYdX launched a cross-margin perpetual contract platform on Layer 2 of Ethereum based on the StarkEx scalability engine and its own Perpetuals smart contracts. This enables it to provide higher transaction throughput and lower minimum order size while greatly reducing the cost of use for users. At this time, its trading performance is almost comparable to that of centralized trading platforms, and it can undertake more trading users. At this time, dYdX needs to attract more attention and users, and an epic airdrop is about to happen.
On August 4, 2021, dYdX announced that it had minted 1 billion governance tokens, of which 7.5% (75 million DYDX in total) were airdropped to the addresses of 64,306 users who had used the protocol in the past.
Each account can receive a minimum of 310 DYDX and a maximum of 9529 DYDX. Users who have obtained an empty investment qualification must complete the corresponding transaction volume on the Layer 2 protocol of dYdX to receive the reward.
dYdX’s airdrops are no longer indiscriminate, with the addition of airdrop tiers based on transaction volume. This is more in line with the needs of project development. On the one hand, all users can receive basic rewards to increase their word-of-mouth and communication effects. On the other hand, more rewards are provided to traders who have made greater contributions, because these users are Core users of dYdX.
The airdrop amount of dYdX is unprecedented, and its wealth effect has stirred up the entire crypto market and greatly improved the popularity of the project. At the same time, the launch of trading and mining has made dYdX’s trading volume rise rapidly, and it has become a leader in the decentralized futures derivatives market. At this time, DeFi has also entered the most prosperous stage of the last cycle.
3) Web3.0 gradually unfolds its narrative, and the domain name system ENS, as an important carrier of DID, takes the lead in airdropping
In 2021, the Q4 market will begin to weaken, and the future direction of the encryption industry will gradually develop from DeFi to a more ambitious Web3.0. As a new Internet based on blockchain, Web 3.0 wants to be popularized, and the addresses on the chain are in urgent need of optimization and become a language form that is easy for users to recognize. In the blockchain network, ENS can parse the Ethereum address randomly composed of numbers and letters and the domain name ending in “.eth”, which can greatly improve the user experience.
On November 3, 2021, Brantly Millegan, Director of ENS Operations, stated that governance tokens will be issued, 25% of the total supply will be airdropped to users, and 25% will be given to ENS contributors, with more than 137,000 eligible addresses. The specific airdrop rules are:
– The airdrop is allocated to the registered address of the “.eth” second-level domain name that has been registered or is currently valid
– The airdrop weight is mainly calculated by the number of accounts rather than the number of domains
– The formula is 0.27 times the number of days that at least 1 ENS domain name has been held, plus 0.067 times the number of days until the domain name expires; if the account has additional reverse resolution, the above result will be multiplied by 2
The airdrop of ENS is more reasonable, as much as possible to the real users of the domain name, rather than the speculators who speculate the domain name. It is airdropped according to the address instead of the number of domain names, which effectively prevents the wool party who accumulate domain names. And holding the number of days as a parameter, on the one hand, it is beneficial to the early participants and OG, who have more days to hold, and on the other hand, it is also beneficial to the currently valid domain names, especially the long-term domain names that have been purchased. Reverse analysis is a double incentive for real users.
Large-scale airdrops, a fair airdrop mechanism, and skyrocketing token prices have made ENS domain name services instantly popular, and the brand effect has increased with the increase in attention, and prompted crypto market investors to start paying attention to Web3.0. As the basic application of Web3.0, DID must be the first to develop, and ENS, as the key carrier of user DID, inevitably must be in the forefront.
4) Web3.0 entered the public chain development period, Optimism airdrop launched the first shot of the Rollups war
In the last bull market of Ethereum, congestion and high gas fees became the bottleneck restricting its ecological development. If in the era of Web3.0, Ethereum hopes to continue to be the leader of the ecological public chain and carry a larger number of users, expansion has become an urgent problem to be solved. With the development of technology, Ethereum gradually establishes Merge, and then introduces sharding in the Surge stage. After sharding, the rollup project will be the core to increase scalability.
At present, Optimistic Rollups and ZK Rollups are the two most popular methods. ZK Rollups is still in its early stage due to the difficulty of technical development. Optimistic Rollups has flourished because of its relatively mature technology. Optimism is the first Ethereum Layer 2 project, leading the development of the Ethereum Virtual Machine (EVM) compatible Optimistic Rollup solution. It took the lead in airdrops and began to grab the market.
On April 27, 2022, Optimism announced the issuance of native Tokens and conducted the first airdrop on June 1, 2022. The official plan to allocate OP for airdrop will account for 19% of the total circulation. The airdrop on June 1st only distributed 5% of the total OP, and the remaining 14% will be airdropped in the remaining second and third rounds. This is the first batch in a large-scale airdrop.
As a public chain, Optimism is significantly different from the previous airdrops of application-layer projects. It increases the airdrop rewards for ecologically active users, and the target of airdrops is wider. These include Optimism early users and active users, major Ethereum DAO participants, Ethereum multi-signature wallet users, Gitcoin donors, Ethereum core users who have used the bridge function, and if more than 4 items are met, you can get additional ” Stacked Rewards”. In addition, Optimism uses blockchain analysis tools and ENS robots to capture proposals, filters out some spam addresses that brush transaction volume and seek airdrops, and narrow the airdrops to real users and honest users as much as possible.
As the first public chain project with large-scale airdrops, Optimism increases the types of airdrop objects and uses batched airdrops to retain incentives for later users. On the other hand, it adopts anti-sybil attack detection. This has an important reference for later project airdrops. Airdrops are not only for simple batch interactions, but a series of behaviors such as interaction, governance, donation, and cross-chain, and those batch interactions with associated addresses will be excluded from the airdrop list. Airdrops no longer simply motivate short-term interactions, but real users who need to accompany the ecological development for a long time.
7 O’Clock Capital has achieved good returns in the above 4 phenomenal airdrops. We believe that from Uniswap’s unlimited airdrops, to dYdX setting airdrop echelons, to ENS adding a time factor, and finally to Optimism’s all-round cross-period airdrops, the project’s requirements for interaction duration and interaction breadth are constantly improving. In the future, the project will continue to increase the airdrop for users who have been deeply involved for a long time. Those investors who accompany the growth of the project and actually use the product will receive higher rewards.
2. Project airdrop trends and how to participate in the future
1) Project airdrop trend analysis
1. Characteristics of phenomenal airdrops
In the future, when we are looking for large-scale airdrops with wealth-making effects, combined with the above analysis, we can use the following characteristics:
– First of all, from the airdrop time nodes of the 4 projects, with the development of the encryption industry, a certain period has reached an important stage of the development of a certain track, and its user volume and market awareness need to be greatly improved. Increased probability of airdrops for top projects.
– Secondly, from the perspective of the income of the 4 projects, there are very considerable positive income every day, so the scale of the airdrop of similar high-yield projects may be very large.
– Finally, from the investment institutions of the 4 projects, Uniswap has received institutional investment such as a16z, dYdX has received institutional investment such as a16z and Coinbase, ENS has received funding from the Ethereum Foundation, and Optimism has received institutional investment such as a16z and Paradigm. The Token value of the endorsed project is relatively high, and the airdrop income is relatively rich.
On the whole, the crypto industry has developed to an important stage in a certain track. The track has considerable positive returns and top-level projects invested and endorsed by large institutions. It is possible to carry out large-scale airdrops with a wealth-making effect.
2. The recognition of witch attack is improved
Regarding the analysis of future airdrop rules, we have to mention a project – the cross-chain bridge hop protocol, which improves the anti-sybil attack and anti-cheating to a higher level. The following related operations are defined as Sybil attacks:
– Multi-address associated addresses: Multiple addresses have a unified fund distribution or collection address, and multiple addresses have obvious correlations in transfer records
– The traces of batch operations and the similarity of activity activity are super: batch transfers in a short period of time, the same gas value, similar interaction amounts, etc.
– The interaction history has attack records of other projects in the past
In the future, the restrictions on Sybil attack-style batch airdrops will be more and more strict, and these situations must be prevented.
2) How can investors capture high returns in future airdrops
First of all, we believe that there will be more top-level project airdrops with wealth-making effect in the future, because from the above analysis, it can be seen that this is the development of the encryption market to a certain stage, and some top-level projects on the track are increasing the awareness of the project for their own development. And the best choice when it comes to engagement.
Secondly, we must grasp the development trend of the encryption market, discover the upcoming track, and capture the top projects with considerable positive returns and investment and endorsement by large institutions in the track.
The last thing is to become a long-term participant of these top-level projects, not just to interact with each other, but to experience the project in depth over a long period of time, to participate in various aspects such as governance, donation, and interaction, and to prevent being judged as a witch attacker.
3. Analysis of top airdrop projects in the future
Based on the above analysis, what project might be the next top airdrop now?
First of all, from the perspective of time nodes, the encryption industry is still in the development period of the public chain, and the key airdrop projects still focus on the public chain. With the progress of Merge and Surge of Ethereum, there is no doubt that the projects with high popularity and large institutional investment in Layer 2 need to focus on participating now. Next, we analyze the four most potential Layer2:
– Optimism, Arbitrum of Optimistic Rollups
– StarkNet, zkSync of ZK Rollups system
Although Optimism has completed a round of airdrops, only 5% of the airdrops have been completed, and the next 14% are sure to have airdrops. This clear airdrop cannot be easily abandoned.
Based on the above analysis, we must first participate in its ecosystem, interact with projects in the ecosystem, participate in staking, etc. Especially now that many projects are officially supported, and by participating in specific projects, airdrops can be obtained. In addition, you can also hold some Tokens to participate in the governance of the project. In short, be a long-term loyal user.
The recent strong rebound of OP shows that the market still has good expectations for it. After waiting for the market to improve, the token airdropped in the later period may be a considerable income.
Arbitrum, another top public chain of Optimistic Rollups, meets the conditions for large-scale airdrops in terms of investment institutions and positive returns. Recently, the project has also held an arbitrum odyssey event. Users who participate in the project interaction for 8 weeks can obtain the corresponding NFT as a participation certificate. In the future, airdrops to event participants may become a new method of airdrops.
Thanks to Arbitrum volume conditioning to keep the flow at a moderate level. As with Ethereum, gas prices automatically increase when traffic reaches the capacity cap until the traffic surge slows down. So as the number of people participating in the event increased, the gas surge caused the event to be suspended.
The project is currently deploying Nitro. After the deployment is successful, the arbitrum odyssey will restart. Arbitrum will have more capacity before Nitro gets congested. This will keep the transaction fee low at all times and will not affect the user experience even under heavier loads. This will be an unmissable event until after the reboot.
In addition, we must also refer to the Optimism airdrop model, place assets on the Arbitrum main chain for a long time, understand and participate in the projects that Arbitrum has completed deployment, and participate in all-round activities such as its voting governance, and become a loyal long-term user of Arbitrum.
StarkWare is a company developing scaling solutions for Ethereum using Starks technology. It has two main chains:
– Permissioned layer on the main chain named StarkEx — used by dYdX / Immutable X / DeversiFi
– Decentralized layer of the main chain named StarkNet
On March 23 this year, StarkWare released the Alpha 0.8.0 version of the StarkNet mainnet. StarkNet is a decentralized, permissionless ZK-Rollup (based on ZKP) and uses ZKSTARK technology to scale exponentially without compromising privacy. Its D round valuation has reached 8 billion US dollars.
Announced in July of this year, its token issuance plan, 9% of which has been allocated to those who work for StarkNet and provide support or development for its underlying technology. If you have used a public chain developed based on StarkEx such as dYdX or Immutable X before June 1, you may hope to get this part of the airdrop.
We note that there is still 9% as a refund from StarkNet to cover part of the cost of joining StarkNet from Ethereum. To prevent gamification, community refunds only apply to transactions that occurred after the refund mechanism was announced. We can understand this part as an airdrop to future users. Therefore, we must continue to pay attention to the development of StarkNet, especially the compatibility with EVM. After the mainnet ecology has developed to a certain extent, actively participate in it and obtain this part of the income.
zkSync was developed by Matter Labs, which received funding from top investors such as the Ethereum Foundation and Union Square ventures. zkSync has been running since September 2020.
Since zkSync 1.0 is not yet compatible with EVM, there are not many projects that have supported or integrated zkSync, but they already need to be involved, such as zigzag, Tevaera, gitcoin donation, etc.
On July 20th, zkSync announced that the first zkEVM rollup, zkSync 2.0, will go live on mainnet in 100 days. After being compatible with EVM, its ecology will grow rapidly, and token issuance will also be put on the agenda, so as a long-term loyal user participating in it, it is possible to get good returns in the future.
In addition to Layer2, other public chain airdrops with development potential are also worthy of attention. For example, the cosmos system in the modular public chain can get the new public chain Token airdrop by staking ATOM. The previous evmos allowed the stakers to obtain good returns. There is also the Layer1 public chain of Libra background that is favored by capital: Aptos, Sui, Linera, they actively participate in the construction after they go online, and they can also get rewards in the future.
Blockchain technology is developing at a high speed and will become the underlying support of a new generation of Internet in the future. In the era of Web3.0, more new tracks will be produced, and new applications of different tracks will also develop explosively. We want to be an explorer who has the courage to try new things, constantly learn and explore, and accompany and participate in the development and construction of high-quality projects. Waiting for the melons to ripen, waiting for the legend of wealth that belongs to you.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/inventory-of-iconic-token-airdrop-events-and-future-forecasts-in-history/
Coinyuppie is an open information publishing platform, all information provided is not related to the views and positions of coinyuppie, and does not constitute any investment and financial advice. Users are expected to carefully screen and prevent risks.