Crypto airdrop tutorial
- WHAT IS A CRYPTO AIRDROP ?
A crypto airdrop is when a blockchain project distributes free tokens or coins to the crypto community. It's just a distribution of free tokens by creators of a new cryptocurrency.
To be a recipient of an crypto airdrop often the only requirement is that you have coins from the relevant blockchain stored in your wallet. Examples of this format of airdrops are Byteball, Stellar lumens and OmiseGo. The format of these crypto giveaways is usually like this: At a pre-announced time the project behind the event will take a ”snapshot” of the blockchain, and anyone holding Ether or Bitcoin at that point will receive a certain number of free tokens. This can also be done on other blockchains, but Ethereum and Bitcoin are the most used for this airdrop format.
Currently the most commen crypto airdrops require a few simple social media task. These projects use an airdrop as a marketing campaign. Examples of this format areShivom, TraXion and Sandblock.
A Hardfork is a less common, but well known way to do an airdrop. At a certain block number a chain Hard fork's in to two separate chains. if both chains get miner and community support you now have 2 separate coins! The most famous examples of this are Bitcoin Cash &Ethereum Classic.
- HOW DO I GET FREE CRYPTO ?
Every airdrop has a different set of rules.
Currently new airdrops require retweets on Twitter, usually you need a minimum amount of followers. Make sure you have active social media accounts to be eligible for these free crypto tokens.
Most airdrops of today require to join their Telegram group so make sure to download the Telegram app.
Other possible requirements are:
Reddit
Facebook
Medium
yôutubê
Slack & #forbidden#Linkedin
Check your wallets regularly to see if you received surprise airdrops. Platforms like Waves or Komodo have delivered airdrops for Waves or Komodo holders without any announcement.
If you are an investor holding a diverse portfolio of coins you are likely to be receiving more and more free crypto as this concept keeps gaining popularity.
- WHY DO ICO's GIVE AWAY FREE TOKENS ?
If you're not paying for the product, you are the product. With doing an airdrop the project creates awareness about their ICO or token. It brings people to the project that otherwise would not have owned or heard about it. It could lead to token price appreciation, since people value a token they own higher than a token they don't own. This is called the endowment effect.
Airdrops create a community/network of people who own the tokens. If you would list the token distribution after an ICO in a pie graph, a large part of the pie is still owned by the Dev's or project. Another large part is owned by people who joined a pre-sale. And a reasonable part is owned by people who invested in the ICO. An airdrop adds an extra slice to the pie and that slice will have the most people in it.
An airdrop also plants a seed. When you look at Coinmarketcap you will see a list of thousand coins. Just on page one you can see 100 coins listed. However if you have or had a coin that name is still in your brain. The seed is planted and whenever you check Coinmarketcap and scroll down, the name of the free e-Coin will jump out and people will check how it is doing. If they see an article that the free e-Token is doing well or bad, they are more likely to click it if they own it or previously have owned it. It's just like advertising!
Looking forward, possible crypto airdrop developments could be projects starting to gift tokens to users who hold tokens in projects that overlap or have some synergy with their own. We could also see projects encouraging other projects to airdrop to their token owners and receiving some benefit in return. Like we already see happening at the Ethereum, Waves, NXT & Komodo platforms.
- WHERE DO I SELL MY AIRDROPS ?
So now you have free crypto, what do you do? Many coins that do airdrops are PRE-ICO or just finished their ICO. This often means it is not traded yet on the bigger exchanges.
what is the name of the token you got? Usually some airdrop tokens or bounty tokens will go directly to etherdelta.com when listed in exchange. You have to wait your token to get listed in the market or else its a scam token airdrops. You can check here at coinmarketcap.com and search your token.
Token announcement thread and token social media pages.
Whichever coin you have, First check their website or their social media account for Exchanger announcement. If they do than sell their.Or wait till they announce their exchange listing.
We suggest you to make an account at all exchanges so you can easily sell and receive your crypto airdrops.
Many projects that are now top 40 coins have done airdrops in their early stages, like NEM, DECRED & Ripple. You don't need to immediately sell your free crypto, there is nothing wrong with being a HODLer.
Be patient man cause they are all free money !!!
- WHAT DOES THE STAR RATING AND ESTIMATED VALUE OF THE AIRDROPS MEAN ?
We rate the airdrops based on the ICO/token, website, social media, Bitcointalk thread and our experience dealing with over a thousand new airdrops.
The star rating:
☆☆☆☆☆Excellent, a must join.
☆☆☆☆Good airdrop, estimated value medium-high.
☆☆☆Legitimate airdrop.
☆☆Legitimate airdrop, estimated value
low.
☆Join at your own risk.
If an airdrop is not listed on our website it did not pass the approval of our analyst. This means that the risk of a scam is too high to promote through our platform. Airdrops that are not listed on our website are not eligible for our scam bound.
- HOW DO I KEEP MY CRYPTOCURRENCY SAFE ?
The safest way to store your airdrops are hardware & cold storage wallets. These wallets store your coins offline, and therefore protect them from being ******. There are a number of hardware wallets available. We would advise to use the Ledger Wallet Nano S or Trezor.
Not all cryptocurrency can be stored in hardware wallets. We advise you to store your crypto in wallets where you control your private keys. You don't want your free crypto to be stolen!
To avoid scams we have a few general rules:
Never give your private keys!
Use 2 Factor Authentication on your wallets
Be careful downloading wallets of smaller project, possibly use a Virtual machine.
Never click on links redirecting to wallets
Don’t use your main email address to apply for airdrops
Don’t re-use your passwords when you register on a website
Don’t send small amounts of crypto to receive your airdrop