Airdrops: I want my free money

What is an airdrop? If you’re new to digital currencies such as Bitcoin (BTC) and Ethereum (ETH), airdrops may sound like some sort of alien invasion. However, they’re actually quite simple to understand.

An Airdrop refers to the distribution of tokens or coins at no charge to recipients, usually as a way to encourage potential customers to try a new digital currency or application.

Cryptocurrency Airdrops have become one of the most buzzed-about topics in the blockchain industry. This simple concept allows for tokens to be “dropped” into the wallets of users for free. The term was coined in early 2014 apparently from the cryptocurrency community on Reddit, and it has been steadily growing ever since.

What is a crypto Airdrop?

An Airdrop is the distribution of tokens to potential users and investors. Airdrops are used as a marketing strategy and can also be used as a mechanism for bootstrapping a new network.

You could say they are a distribution technique that’s similar to dividends, but instead of paying holders of stocks or shares in a company some financial reward, they receive “free” cryptocurrency.

Why do they give free money?

Many startups use an airdrop to build up their communities. It’s a way for them to give back to the users who help them grow. It’s also a way for each community member to earn more coins.

Airdrops are used as a marketing strategy and can also be used as a mechanism for bootstrapping a new network. It’s a great way to build a wide customer base and encourage customer loyalty, as the company ends up giving out free tokens to those who participated in the airdrop.

Building a broad and strong user community is one of the most important drivers for growth and sustainability of a crypto project.

How do Airdrops work: types of Airdrops and rewards

Types of Airdrops:

Standard Airdrops: they distribute native coins or tokens to existing wallets to promote the new currency and brand.

Bounty Airdrops: like a paid marketing approach, the receivers must promote the brand in return for the digital asset.

Exclusive Airdrops: sends coins only to a group of people based on certain conditions. 

Holder Airdrop: for those who already own another coin. 

Types of rewards:

• Taking a specific action:

The most frequent case is that the airdrop requires you to perform a specific action, such as joining the Telegram group, following Twitter or Facebook. By doing this, the company will contact you and possibly offer you the “bounty”.

• Simply owning other cryptocurrencies

You are entitled to airdrop just for registering or having an account with the platform.

• Having an account open in certain Exchanges or wallets

Some Airdrops require you to have an account open in certain exchanges. Also, by having an account open in certain wallets.

Airdrops are used as a marketing strategy and can also be used as a mechanism for bootstrapping a new network.

What do you need to profit from Airdrops

Although the requirements will depend on the rules of each Airdrop, in general, it can be assumed that it will be necessary to have at least the appropriate wallets for the case.

One of the most used is Metamask, an almost fundamental one to count for the entire DeFi world and also for many Airdrops, although it is not the only one.

It will also be necessary to be alert since airdrops usually appear by surprise, so being connected with the crypto world will also be necessary.

One possibility is to set alerts on Google, in this way you can receive notifications when an Airdrop occurs.

Where can you find Airdrops?

• Airdropbob.com
• Aidrop Alert
• Coinmarketcap.com
• Airdrops.io
• On Twitter here, here and here.

Airdrops are also a great way to give recognition to the blockchain community and its active users who find it a rewarding and exciting experience, but bear in mind that Airdrops are not meant to be a step towards the future of investing and making the most of the cryptocurrencies available; it’s more of a way to help grow the adoption of digital currencies.