If you're interested in cryptocurrencies, you've likely heard the term airdrop. The literal meaning of this word is "to drop supplies, etc., from an aircraft." It's something you often see in war films, where airplanes send aid packages to a unit or civilians; this action is called an "airdrop."
But what concerns us are the airdrops in the crypto world. In this article, we will answer the following questions:
- What is a crypto airdrop?
- What are the types of crypto airdrops?
- How can I participate in airdrops?
- What are the most popular airdrops of 2024?
Understanding Crypto Airdrops
In the cryptocurrency space, an airdrop is a marketing strategy. The primary goal of this method is to generate interest in a newly launched or upcoming cryptocurrency. To achieve this, a certain amount of the relevant coin or token is sent for free to investors' wallets. This is usually a small amount, but it essentially means free tokens appear in your wallet, increasing your interest in that cryptocurrency.
However, of course, to qualify for most airdrops, you are expected to meet certain conditions. For example, you might need to hold a specific cryptocurrency related to the new token in your wallet for a period of time or contribute to the project's social media campaign through your shares.
Types of Crypto Airdrops
Airdrops are classified into four main types based on how they are organized and their content: i) Bounty Airdrops, ii) Standard Airdrops, iii) Holder Airdrops, and iv) Exclusive Airdrops.
- Bounty Airdrops aim to reward users for completing requested tasks. These types of airdrops typically require users to contribute to the project's social media efforts. In return, users are rewarded with the project's token or coin.
- Standard Airdrops are airdrops that anyone can participate in using just a cryptocurrency wallet address. To prevent the same user from participating with multiple wallet addresses, some personal information like an email address or phone number may be requested.
- Holder Airdrops require users who want to participate to have held a specific cryptocurrency in their wallet for a certain period; in other words, they reward holders.
- Exclusive Airdrops, or "protocol airdrops," are where tokens are sent only to specific individuals. These airdrops might aim to generate publicity by sending tokens to a famous person or to reward individuals who have supported the project for some time.
How Can I Participate in Airdrops?
You can easily track cryptocurrency airdrops through various airdrop calendar websites and social media. So, let's say a crypto airdrop catches your interest and you want to participate. What do you need to do?
First, each of the airdrop types we listed above comes with different participation conditions. Therefore, the first thing you must do is examine the participation requirements for the airdrop you want to join. If you meet these conditions or can meet them, the rest is very easy.
Many airdrops have a webpage that outlines the steps you need to follow to participate, provided you meet the conditions. These steps usually start with registering on the project's website and continue with connecting your cryptocurrency wallet to the airdrop page. After that, all you need to do is wait for the airdrop time. When the airdrop occurs, your token rewards are sent directly to the relevant wallet.
Of course, as you can understand from this, to participate in a cryptocurrency airdrop, you need, above all else, a cryptocurrency wallet compatible with the relevant token. Don't be intimidated by the term "cryptocurrency wallet"! You don't need to pay an extra fee to own a cryptocurrency wallet. Moreover, you can create a crypto wallet in just a minute.
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The Most Popular Crypto Airdrops of 2024
Now, let's look at some of the crypto airdrops that have attracted attention in the first half of 2024 or are most anticipated in the second half… Here are some of the most popular crypto airdrops of 2024!
EigenLayer (EIGEN)
EigenLayer (EIGEN) is a restaking protocol built as middleware on Ethereum. Developed by Sreeram Kannan, a professor at the University of Washington, this protocol has been one of the most notable Ethereum projects recently.
The first phase airdrop for the project's cryptocurrency, the EIGEN token, was actually completed last month. Now, the second phase airdrops are next. You can access detailed information on the EigenLayer airdrop page.
zkSync (ZK)
Ethereum scaling projects create higher transaction speeds and lower gas fees for Ethereum users while reducing network congestion. This makes them very important, especially for Web3 developers and users. zkSync (ZK) stands out as an innovative Layer-2 Ethereum scaling protocol.
The airdrop process for the project's cryptocurrency, the ZK token, has also begun. The ZK token is already considered one of the promising altcoins.
Wormhole (W)
Wormhole (W), a cross-chain communication platform that enables data and asset transfer between different blockchains, is among the most popular Web3 projects recently. Wormhole's cryptocurrency, the W coin, will likely also be among the best altcoins in the coming period. The W coin airdrop has already started. A snapshot was taken on February 6, 2024. If you want to check if you are eligible for the W coin airdrop and whether you can receive token rewards, you can access the details.
Blum (BLUM)
Blum (BLUM), an innovative decentralized exchange, brings all blockchain networks and the cryptocurrencies that operate on them under one roof. The project has also started its BLUM token airdrop process. You can click for more detailed information and to start earning BLUM tokens.
Frequently Asked Questions
What exactly is a cryptocurrency airdrop?
A cryptocurrency airdrop is a marketing event where a project distributes free tokens or coins to numerous wallet addresses. The primary goals are to raise awareness, reward early supporters, and decentralize the ownership of the new token.
Are airdrops completely free, or is there a catch?
While the tokens themselves are free, participating often requires completing tasks. These can include following social media accounts, sharing posts, holding a specific other token, or signing up on a platform. Be extremely cautious of any airdrop that asks for your private keys or seed phrase; this is always a scam.
How do I find legitimate airdrop opportunities?
The best way to find real airdrops is to follow official project announcements on their websites, Twitter, and Discord channels. Reputable crypto news sites and dedicated airdrop tracking platforms can also provide leads. Always double-check the source to avoid phishing sites.
What do I need to participate in an airdrop?
At a minimum, you will need a compatible cryptocurrency wallet. Most airdrops require an Ethereum-compatible wallet like MetaMask. You will also often need to provide a wallet address, and sometimes an email or social media account for verification and task completion.
Do I have to pay taxes on airdropped tokens?
Tax regulations vary significantly by country. In many jurisdictions, the fair market value of airdropped tokens at the time of receipt is considered taxable income. It is crucial to consult with a tax professional in your region to understand your specific obligations.
What's the difference between an airdrop and a hard fork?
An airdrop is a deliberate distribution of tokens by a project to promote itself. A hard fork is a permanent divergence in a blockchain's protocol, often resulting in two separate chains (e.g., Bitcoin and Bitcoin Cash). Holders of the original coin usually receive coins on the new forked chain, which can feel similar to an airdrop but is technically different.