Striving for the Top: A Guide for Slot Catchers

W3.Hitchhiker

2022-10-28 22:00

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Original title: "Striving for the Top: A Guide for Airdrop Catchers"

Original author: Tiga, W3.Hitchhiker; revision: Evelyn, W3.Hitchhiker

The Logic of Airdrops

Before issuing coins, airdrops are the bargaining chips for project parties to attract users. When issuing coins, it is a marketing campaign created by project parties "for free". From the current unrigorous statistics based on the small number of samples, generous project parties often have strong backgrounds, and the price of tokens after airdrops also has good performance. However, the price of tokens after airdrops by stingy project parties is often unsatisfactory.

The rules of airdrops have gradually changed from the initial equal treatment to a large-scale airdrop distribution method. For project parties, all user activities can be regarded as a label, but among so many labels, only those users with rare labels can get high-value airdrops. The issue price at the time of listing and the total number of tokens to be issued are all determined in advance by the project party. The project party sets various rules to screen potential airdrop users and divide the corresponding airdrop "levels" to fill the total airdrop quota. All user behaviors are just labels for dividing user levels. The higher the level, the larger the airdrop quota can be.

For users, choice is more important than hard work. Generally speaking, the greater the potential of the track in which the project is located, the more financing it has, and the greater the prospects, the easier it is for them to make money, and the greater the cash flow, so the greater the probability of the project issuing large airdrops. If users conduct more rare interactive behaviors on this basis, they are more likely to receive higher amounts of tokens airdrop allocations.

Revelations from several typical airdrops

ENS Airdrop

DyDx Airdrop

DyDx is a contract DEX, and its airdrop method is mainly divided according to the number of transactions of users. The total number of users who received airdrops: 64540. Dydx divides users into 6 levels based on transaction amount. The lower the user level, the greater the proportion of people in that level, and the smaller the proportion of airdrops received.

OP Airdrop

OP is an L2 (public chain) and its airdrop method is set to 6 There are three conditions. The more conditions are met, the larger the airdrop amount you will get. The conditions include:

OP users: use OP at least twice and the interval between the two transactions is greater than 24 hours

Repeated users: use OP in 4 different weeks [TOP 20%]

DAO Voter: participate in DAO governance voting

Multi-sig signers: multi-money users

Gitcoin Donors (L1): users who have donated on the mainnet

User Priced out of Ethereum

According to the OP, According to the data, there are only 2707 users who meet all 4 conditions, only 627 users who meet all 5 conditions, and only 45 users who meet all 6 conditions. From the distribution of Token airdrops, OP officials gave most users a minimum living allowance, and also gave high rewards to users who participated deeply. The difference in the number of airdrops between users with different levels of participation is very large, and the overall gap is also exponential.

Enlightenment from ENS, DyDx and OP airdrops

Among these three typical large shorts, these projects each have obvious highlights:

ENS makes money very easily, with almost no cost and no competitors.

OP and DyDx have very rich financing, a leading industry position and broad market prospects.

It is precisely because of these highlights that we can generously distribute large amounts of airdrops to the vast user groups.

From the distribution of airdrops, we can see a potential rule, that is, the number of airdrops between user groups shows exponential differences (compared with the three figures above, it is more intuitive)

Starting rewards: users with rank 0%-80% are allocated about 50% of the total tokens

Intermediate rewards: users with rank 80%-90% are allocated about 10% of the total tokens

Highest reward: TOP 10% of users are allocated about 40% of the total tokens

The author also investigated several other projects, and they all showed such a pattern. For the project party:

Distributing the starting rewards to the widest user group is the most direct feedback to these users, and it is also the marketing fee paid by the project direction community.

Distributing the intermediate rewards to a small number of users in the middle is the project party’s response to the support of these backbone forces.

Distributing the highest rewards to the TOP 10% users is the project party’s gratitude and tribute to these deep users.

From the perspective of airdrops, the airdrop rewards obtained by upgrading your account by one level will be multiplied several times. For ordinary users, the airdrops obtained by making a boutique account will be much higher than those obtained by making many accounts with average participation.

Thoughts on future airdrops

In the future, airdrops will become more and more competitive. There will be more and more users competing for the starting rewards. The more wolves there are, the less meat there is. The more diluted the share each user gets. If users want to get higher-level airdrop rewards, they need to have more scarce "on-chain footprints", to have what others don't have, and to be better than others, and strive to make their addresses the TOP 10% or TOP 20%.

The conditions for the project party to screen the airdrop level must be based on rarity, and the purpose of screening is also to "classify" users. These scarce conditions can be a sufficient number of transactions, transaction amounts or transaction time intervals (this is a relative concept, such as being the TOP 10% of the crowd); it can also be a certain NFT (including OAT or POAP). In the future, the frequency and weight of airdrops based on NFT, OAT and POAP will definitely increase and increase. The roles in Discord do not seem to play a big role in airdrops at present.

In general, participate in more experience projects to ensure that you can get the starting rewards. For some good projects with at least one major highlight, participate in the experience more deeply. For projects with multiple highlights, grow with the project. Users who conduct airdrops on multiple accounts need to pay attention to the trade-off between the time, energy and benefits of laying out multiple starting rewards and cultivating a boutique account. The coin issuance cycle of a good project will be relatively long, and users need to remain patient and rational. The most important thing is to continue to experience Dapp.