Airdrops
Airdrops are used as a marketing strategy by new crypto projects. By giving active crypto enthousiasts free tokens they create awareness about their project. The amount of tokens received is either calculated by trustline where they distribute based on the amount of a layer 1 token held by each receiver, or divided equally under the number of participants. It differs per airdrop what steps have to be taken to receive the airdrop.
Complexity
Some airdrops are supported by exchanges, in that case it is often a matter of holding a different token at the time of the snapshot. But in most cases you have to find new airdrops and figure out how to participate. Working with trustlines or enrolling into a system can be a bit complex at first.
Time
Most airdrops take only a few minutes to participate. Most of the time goes into finding the right airdrops to participate in.
Airdrops
Complexity
Time
Risk
Profitability
Risk
The main risks to consider when participating in airdrops are:
Getting hacked, never give private keys or login details.
the base cryptocurrency which was a requirement to be held losing value.
Overall this is a low risk strategy.
Profitability
Most airdrops are for very small amounts only, but if a project grows the value of the tokens can rise significantly. Over time with the right projects the profitability of airdrops can add up significantly.
Airdrop overview
EarnCrypts is working on an overview of upcoming airdrops. We will add more information here from time to time.
