#哈皮杂谈 | Investment logic behind airdrops

Since the $UNI airdrop, the cryptocurrency community has been hotly discussing the phenomenon of hairballing, which not only makes people rich quickly, but also brings huge attention to the project!

However, risks also exist, and anti-money laundering incidents are common. Recently, the "electronic beggar" remarks of a certain project have sparked widespread discussion, and the currency circle has added a new term!

1/ Why airdrop?

There are two main purposes of airdrops: one is to make the data more attractive or increase popularity, such as increasing the number of addresses holding coins, the dispersion of chips, or to confuse people, such as Runestone, $Dog, $X, etc. The other is to reward and give back to users, such as $ENS, $ARB, $ARKM.

The purpose of airdrops for most projects is a combination of the above two.

2/ What is the essence of airdrops?

Except for airdrops proactively conducted by project parties for data or popularity, most airdrops require users to pay a certain cost.

If you think deeply, the essence of airdrops is a transaction, that is, exchanging your resources for future airdrops. Therefore, you must be clear about the needs of the project party in order to participate in it more effectively!

3/ The need for airdrops and common misunderstandings

Nowadays, there are many airdrop task platforms and tasks, which seem to provide clear guidelines for airdrops, but in fact, many of them are misleading users. There is a popular saying in the circle: "Big Mao is simple."

We are not discussing the mission-based airdrop method here, those are established rules and there is no need to explain further.

Take DeFi projects as an example, what they need is TVL and on-chain activity. Simply put, the project needs your "funds" plus the "data" you create for it.

"Data" is easy to understand, usually using related protocols or well-known project protocols within their ecosystem. But the "funds" part is easy to be misunderstood. For example, does the gas fee you cross from the ETH chain to the ARB chain count as a "fund" contribution to ARB? It may be for the cross-chain protocol you use, but not necessarily for ARB.

When calculating costs, many people will include costs that are not required for the project, which is a common misunderstanding. Therefore, when taking advantage of airdrops, everyone needs to analyze carefully to avoid unnecessary misunderstandings.

4/ Conclusion

Airdrops are essentially an investment strategy, and the key lies in the rate of return, so the needs of the project party must be clarified to avoid wasting money and time.

Follow @BitHappy , grow together, and get rich together!