I. What is Airdrop ?
Airdrop means something falls from the sky. In marketing, Airdrop is also understood as a program to give away new products for free. Customers only need to follow a few specific requirements to be able to try the service and product at no cost.
In the crypto space, an airdrop is often a marketing tactic that uses the free distribution of new crypto tokens to new users. Or exchange for a few simple tasks such as: sharing a post on social networks, a like, commenting on project announcement posts, etc.
Each Airdrop campaign is an opportunity for a certain crypto project to have the opportunity to widely distribute coins to a group of potential users. Although it is only a free program, each airdrop coin is held on a very large scale, the promotion stage is extremely aggressive.
II. Pros and cons of Airdrop
Realizing the huge potential of cryptocurrencies, crypto startups were born one after another, leading to stiff competition in the crypto market. Therefore, companies put a lot of effort to stand out from the crowd. Naturally, Airdrop is an indispensable tool for this process. Usually Airdrops will be applied by start-ups that are in the process of launching crypto projects.
For Airdrop participants:
Most crypto enthusiasts, especially those who hold a small amount of coins, are often particularly interested in airdrops, simply because they don’t need to spend money to own them. And it is impossible to predict, maybe these free coins can increase in price over time or spike, bringing huge profits with zero capital.
For those who are new to the field, receiving the Airdrop also becomes an incentive for them to start skin-in-the-game with crypto more easily. They will have a certain amount of capital without spending money and without worrying about the pressure of losing.
And for the project, they get a lot of benefits including:
Create Identity: Many crypto projects have used airdrops to promote their ICOs and arouse enthusiastic attention from users towards their new digital assets.
Rewarding users: Some investors in the cryptocurrency ecosystem are only looking for the highest return on investment (ROI) and do not care about the long-term sustainability of the project. As a result, some startups conducting airdrops have distributed tokens for free to reward loyal users who use their platforms or continue to hold a certain amount of tokens in their wallets for a certain period of time.
Decentralized token distribution: In cases where the project accumulates too many tokens, the project can conduct an Airdrop of tokens to other users to balance the token distribution.
Attract investment: When the project launches and airdrops for users, those who receive the airdrop will automatically shill the project that airdropped them for free. Token shilling is made easy through informational and social media platforms like Twitter or Telegram. From there, big investors or “whales” base on it to assess the attractiveness and future prospects of the project.
Learn more about the project community: Airdrop allows projects to collect data from the crypto community. As some of them ask the recipient to fill out a form providing their personal details like email, social media and their views on crypto projects. With this information, the project can execute targeted marketing campaigns.
For some people, the Airdrop may not be as valuable as they expected, basically there are projects that are not really attractive and well-organized to receive their attention. On the other hand, because it is free and distributed to many people, the amount of Airdrop you receive will become less.
At the same time, some Airdrop projects gradually lose value over time because of low liquidity, so not all airdrop projects are profitable for users and projects.
Not to mention there are some scam projects that make the Airdrop tokens you receive will never be liquidated and you lose time doing those projects.
III. Another Informations about Airdrop
Who can participate in the Airdrop?
In general, all types of Airdrops are geared towards the user community, so everyone can participate in Airdrop rounds if they fulfill the requirements.
1. Instructions to join Airdrop
Currently there are many ways to hunt for Airdrops, the easiest way is to search from Google. Since crypto projects also expect a response from the community, there will be countless ways of promoting to make us more accessible.
In addition, users can access projects quickly from accessing aggregator sites such as:
- Coin Airdrops: https://coinairdrops.com/
- DropEarns: https://dropsearn.com/airdrops/
- AirdropAlert: https://airdropalert.com/
- CoinMarketCap: https://coinmarketcap.com/airdrop/
Here they have listed Airdrop programs from projects that users only need to perform a few steps to be able to participate.
2. Airdrop storage wallet
During the airdrop process, the project will ask you to fill in a wallet to receive tokens. Depending on the project token standard, you need to provide a compatible network wallet address.
For example, if the project requires a BSC wallet, you fill in the Binance Smart Chain BEP-20 wallet, the Ethereum wallet fill in the ERC-20 wallet, Solana fill in the SPL standard wallet, etc.
You can get a wallet on Binance for BSC, Ethereum or Tron networks. However, for some networks that are not yet integrated on Binance, you can use the multi-chain Coin98 Wallet. Because in addition to the other 3 networks, Coin98 Wallet also supports many other blockchains such as Solana, Avalanche or Polygon.
After receiving the token, you can sell it on centralized or decentralized exchanges that list that token or hold and wait for the token to increase in price.
3. Note when participating in Airdrop
Airdrops are often very attractive to traders who are new to cryptocurrency trading. However, in the online world, there is rarely anything free that is absolutely safe. With a forest of crypto projects like today, it’s easy to choose the wrong scam project.
If you want to participate in the Airdrop experience, you should note the following:
Absolutely do not send private keys (Private Key): If the private key is revealed, it is completely easy for hackers to assess the number of coins you are holding. Or the Airdrop deployer can also rely on this to collect user information.
Do not send coins Airdrop to another wallet address: Airdrop is completely free, the project only requires you to hold the coin, not sending it to any address.
Find information from official sources: You should update information from the developer who will deploy the Airdrop, not just rely on sharing on social networks, forums. On the main website of each project are fully updated Airdrop, please update the official information there.
IV. What is Bounty?
Similar to Airdrop, Bounty is a form of issuing free tokens to users’ wallets when they perform tasks required by ICO projects such as liking, sharing facebook, translating articles, writing articles… Users will receive an amount of tokens corresponding to the work they have done as required by the ICO project.
In essence, this is a form of PR program for coin issuers, mainly to attract more potential investors to participate in project development.
Popular forms of Bounty coin today include:
- Write content to introduce the project on social networking platforms.
- Translate articles from foreign sources.
- Post articles on personal Facebook pages or in groups.
- Initialize signature on Bitcointalk forum.
- According to me, the above is about the project posted on Linked.
- Follow the status lines related to the project on Twitter.
V. Another information about Bounty
How to participate in Bounty coin effectively
The simplest way you can find information related to the Bounty coin program is to follow the news on the Bitcointalk forum. Specifically, go to the Bountyhive section. This is a system of connecting and updating news about reputable ICO projects so that participants can receive ETH or other tokens according to their own efforts.
To invest in a Bounty coin effectively, you will need to remember and apply the following 5 basic things.
Limit your participation in the Bounty program that takes up too much of your time.
Carefully study payment methods and receive rewards.
Learn about the team that founded and operated the ICO project.
Carefully consider the tasks that need to be completed to receive the reward.
Please carefully analyze the revenue that can be achieved after each participation in Bounty ICO.
Note when participating in Bounty
If you want an effective Bounty, you certainly cannot join the movement. Instead, you need to research and develop a methodical plan.
Actively join the Bitcointalk forum to learn from experience.
Tokens in your wallet you will not be able to sell immediately because their price does not always increase steadily.
Be careful with scam projects when participating in Bounty. According to people in the industry, more than 90% of ICO projects today are in the group of junk projects, raising capital wildly, but after a while they are almost “dead”.
Fully register accounts on social networking sites at the request of the Bounty deployer.
Do not share Private Key, personal information to any Bounty project. Because you never know what they will be used for.
Do not inbox to exchange information with an individual claiming to be a project manager to avoid the risk of fraud.
Thus, through this article, Metalion Ventures has introduced to readers two interesting activities in the crypto world. Hopefully, this article can help readers on their way to getting into crypto space.