#币安Alpha The point system has been live for almost a month. From the beginning, many users tasted the sweetness of airdrops, but later more and more users complained about the difficulty of obtaining airdrops. What exactly went wrong? Here’s my personal analysis of the 'high point threshold' and some improvement ideas.

1. Why does it seem increasingly unreachable for many users to achieve Alpha's scores?

According to existing data, Binance has set a range limit on the total airdrop amount for each phase, and has also intentionally framed each airdrop's yield per person to be around 100U (there are special cases, such as the token $NXPC from Adventure Island, which can generally receive over 400U, and there are times when the airdrop value is particularly low, but Binance generously compensates with additional airdrops). Therefore, the total airdrop amount remains within a fixed range, and each person's yield is also around 100U. It can be calculated that the number of participants each phase = total airdrop amount / 100U, which is also a fixed range. So why has the number of airdrop participants not decreased, while the threshold score continues to rise, even remaining high after the introduction of the 15-point deduction mechanism for receiving airdrops? This can primarily be attributed to - the Binance airdrops are just too appealing.

Let's first calculate the wear and tear from grinding points. If we choose a token on the BSC chain with a larger pool, I compared the wear and tear from grinding with a larger amount (4100U) versus a smaller amount (210U). The wear and tear from 13 transaction volume points is not significantly different, and the total points over 15 days are also not drastically different, both meeting the point threshold. The total wear over 15 days is also around 100U. Before the deduction mechanism was introduced, 2 airdrops could definitely cover the costs, assuming an airdrop every 1.5 days (in reality, the airdrop frequency is higher), leading to an average daily net profit of over 55U (earning over 12,000 RMB monthly is quite appealing). High profits naturally attract more new entrants quickly (increment), and the entire Alpha point airdrop market is becoming increasingly competitive, while the total number of airdrop participants remains within a fixed range, making the airdrop threshold feel increasingly unreachable for many.

So, clearly from the above table, the size of funds has little impact on total points. Why are most of those dropped small investors? I collected some complaints from the Alpha community groups and summarized them into the following reasons:

1. Having to mindlessly grind 10-20 times a day, unable to persist;

2. Excessive wear and tear, always wanting to earn price differences while grinding points, resulting in greater losses due to price drops.

3. Participating too late, starting a week or longer after others and with little capital, leads to not receiving any airdrops while grinding for points, but due to wear and tear, the capital keeps decreasing while the number of daily grinds increases.

Now, let's discuss why, after changing to the deduction mechanism for receiving airdrops, the scores have not significantly decreased. Many intuitively believe that with each 15-point deduction, the scores should decrease over the 15-day cycle, but they overlook the volume and increment.

We simplify the situation of airdrop point deductions: Assume there are 10 airdrops or TGEs in a 15-day cycle, with 10,000 participants each time. All eligible individuals deduct 15 points to exchange for airdrops, and with each segment from high to low, 2,000 new participants join before each airdrop (because it's profitable, new accounts keep participating, while many drop out due to not receiving the airdrop, mainly those below 170 points, which has little impact). We can see that during a 15-day cycle, the lowest score for airdrops remains above 190 points. If users who receive airdrops continue to grind, they will revert to their scores before the first airdrop after one cycle ends. This is why the scores cannot drop significantly.

Under this deduction mechanism, if one still maintains a grind of over 14 points daily, theoretically, during a 15-day cycle, they could receive airdrops twice, netting over 50U in profit, and over 100U in a month (this is under the condition of grinding BSC chain tokens or using limit orders). The earnings per account have significantly decreased, making it seem less profitable than working in a factory, but the range of beneficiaries has expanded.

2. The range of beneficiaries has expanded, so why does it still feel like the majority have not received airdrops?

Firstly, the significant drop in profits and the inertia of ordinary users. Initially, the point threshold was set at 140-160 points, with many users earning over 10,000 monthly, but later they found that scores kept rising and profits dropped significantly, making Alpha no longer as appealing, leading many small investors to choose to exit.

Secondly, the persistence of early beneficiaries and the entry of exploit teams. For early earners, as long as they persist in grinding a couple of times a day, they can continue to receive airdrops, with the time cost being very low. As long as there are profits, they can continue to grind; on the other hand, more and more professional exploit teams and individuals have entered the scene. For them, the daily labor/time costs are fixed, so spending a little more time on a project each day means earning more money. Therefore, as long as there are profits, they can persist.

3. Let’s talk about the Alpha airdrop mechanism.

First of all, I believe that as long as Binance can continue to allocate part of its profits for airdrops, the Alpha point airdrop can continue indefinitely, and the backend data will remain stable. However, from the purpose of the airdrops, if no changes are made, the effectiveness of the point airdrop will continue to decline.

I believe the main purpose of Binance's airdrops is to attract more people to use the Binance wallet and engage with Alpha, generating user stickiness through long-term usage. In the first part, Binance has succeeded, and from the trading volume perspective, it remains relatively stable, but in terms of user stickiness, there is still significant room for improvement.

As mentioned above, the main beneficiaries currently are early earners who only need to grind 1-2 times a day and the teams and individuals looking to exploit opportunities. They don't care about what is being traded but just grab their calculators to compute net earnings. If it’s profitable - grind, if not - leave!

And those who truly want to trade on the Binance wallet are likely those looking to earn from price differences while grinding points. These are the users that Binance truly needs; they enjoy trading, and grinding points is just a way to invest that money into Alpha tokens for greater returns. But they have left disappointed, complaining before even getting accustomed to using the Binance wallet.

I don't know how much prosperity Alpha and the Binance wallet can maintain after the Alpha airdrop stops; but I know that only holders, builders, and traders who love this industry can truly bring significant traffic, not just pure profit harvesting machines. Just like meme coins, it is a trillion-dollar market that everyone has gambled out through various communities and '10U'.

The good news is that I see Binance is continuously working hard to optimize and improve. I look forward to the team enhancing the wallet features and building a more comprehensive incentive mechanism from multiple dimensions of hold, build, and trade.