In the world of cryptocurrency a popular method of both distributing the initial supply of a coin and even rewarding holders after the fact is the airdrop. It can take some serious scouting to get in on these deals though because most of the time it’s too late if you’re hearing about it on many websites.
Drops are typically a very limited engagement, so you need to be quick about it. Investors interested in getting some freebies will need to keep an ear to the ground in the right places in order to find these new projects.
There’s plenty of opportunities for you to get some free coins, but you should keep in mind that in most cases these are not huge amounts. Typically drops are distributed evenly between a great number of people, but they can still be valuable. Especially if you can get a good deal of them. Okay, let’s talk about different types of airdrops, and how you can get some of them for yourself.
Some coins will actually premine their entire supply and then airdrop all of it to the community in a free distribution procedure. The reasons they choose to do this vary, but it can create some serious problems. For starters, it floods the market with new coins or tokens. Many of the people participating in the airdrop likely don’t care about the project, and they only want free money.
This greatly lowers the price of the asset initially, and it can make it hard for it to gain traction since so many of them are circulating at once. It can also result in the coin’s supply being poorly distributed, with some people holding obscenely large amounts of the currency.
An example of this type of airdrop is Flashcoin. Every coin has already been distributed, and there’s no way for anyone to ever mint or mine any ever again after the drop was completed. Now you can only get Flash coins by buying them from people who participated in the drop or those who bought them from these people.
While this did lead to an immediately large circulating supply, it also removes people who would otherwise just mine the coins and then immediately dump them. Now only people who actually want the coin will be holding it, and the sell pressure will eventually die off.
While it’s often the newer coins that hand out freebies, sometimes even older projects will still have airdrops available! DeepOnion famously held a 40-week airdrop where every week holders were rewarded with additional coins for holding on to their investment.
There are many other projects that do this as well. Though some of them may not advertise it as well. PundiX and Smartcash reward holders with similar drops to their wallets through distributions and rewards. Nothing is required of you to earn these other than being a holder of that asset.
Often times the drops for these are much smaller, but they happen on a recurring basis. That means that it can add up fast, and it’s possible for you to gain new coins or tokens every month, or even every week in DeepOnion’s case just for holding on to your investment.
Some of these programs have stipulations you must complete every week like being active in their forums, but others have no such requirements. Smart Cash will simply send you new coins just for having a wallet and not touching the contents. No other participation is required.
In most cases, not a lot is required for investors to claim these drops. The project leads may require you to join certain social media channels such as Telegram or Discord, or they may require you to submit other information. Typically a date will be announced, and you will need to join by that date to claim your tokens.
Sometimes you can even get a bonus by referring others, as the developers want as many people as possible to join the drop to help launch the coin. While it may seem that giving out free money is out of the goodness of their heart, this is often times a clever marketing ploy to get attention for the new asset which might otherwise be ignored by investors.
When claiming your airdrops, make sure to read all of the information provided by the developers carefully. If you don’t follow their instructions exactly then you may not be eligible for the drop, and you could miss out on your coins or tokens.
In order to find airdrops, you need to seek out places where new coin projects are hanging out. In most cases, this will be the Bitcointalk forums. Almost every new cryptocurrency launches itself here, and if there are any airdrops available, this is where you will hear about them. If you visit the “coin announcements” section, then you’ll be in a good position to find projects like this.
Unfortunately, this is also one of the most active boards, and these announcements will be quickly buried by threads that are getting replies. You’ll need to keep on top of things, and it may be possible for you to subscribe to new topics. That way you don’t miss any new announcement threads. Or you could just start scanning the front page every day. Usually, if there is an airdrop it will be listed in the topic’s title, and it should be easy to pick out these projects.
Twitter is also a good place to learn about these kinds of events. It’s also a little easier to search than the forums because you can use hashtags to filter through the noise a little bit. Twitter, unfortunately, has the misfortune of attracting a lot of scammers though. Airdrop holders will never ask you to send them any money to participate, and if anyone on Twitter requests money from you for an “airdrop”, then you should report their account as a scam.