A new report released by Binance Alpha indicates that the increasing threshold and low airdrop rewards are pushing ordinary users out of the system. Most projects listed in May have depreciated, with the average return rate still at -5.04%. The average drop of altcoins distributed via airdrop is 31.5%.
According to a report published by Wu Blockchain, the participation threshold exceeded 200 points and the airdrop rewards decreased to around $25, causing investment returns to drop rapidly and leading to serious discussions within the community.
As the number of users participating in the system increases, the earning potential of each distributed airdrop becomes clearly limited. On the other hand, the threshold points required for participation continuously rise. This forces users to further reduce transaction costs to maintain their profit margins.
Recently, Binance Alpha has started listing Sui ecosystem tokens and subsequently announced a series of Alpha projects based on Sui. This development has opened up a new low-cost space for users manipulating trading volume. According to a study by PANews, the trading volume of Sui tokens on Alpha is quite low. The highest volume recorded on NAVX had a 24-hour trading volume of only $3.34 million. For tokens like HIPPO, BLUE, and SCA, this figure remains in the hundreds of thousands of dollars. In contrast, projects on the Solana chain achieve volumes exceeding $10 million. In some major projects listed on BSC, this figure exceeds $200 million.
Solana is the second most listed ecosystem on Binance Alpha. As of May, trading volume on Solana’s decentralized exchange (DEX) has significantly increased. DEX volume, which was $2.2 billion on May 4, doubled to $4.59 billion by May 15. Some Solana tokens listed on Alpha, such as MOODENG and jellyjelly, have seen high trading volumes and price increases. For example, MOODENG rose 140% from the listing date to May 14. The average return of six Solana-based tokens listed in May was 12.32%.
In addition to Sui and Solana, the rebranded Sonic ecosystem of Fantom is also benefiting from this increase. So far, only three Sonic projects have been listed in Alpha, but the average price increase of the two tokens released in May is 65.93%. This figure stands out as the highest rate among all ecosystems. However, due to the limited number of examples, it is challenging to make clear comments on the long-term potential of Sonic projects.
From the project's perspective, listing on Binance Alpha does not always mean success. The average price change of 23 tokens listed in May was -5.04%. The largest decrease reached 75%. Many tokens surged shortly after listing but then fell sharply. This indicates that Alpha merely provides a new trading area rather than creating a 'golden token.'
The situation is even worse for projects listed through airdrop campaigns. All seven airdrop tokens listed in May had depreciated as of May 14.