Airdrop Alpha

Market Meditations | October 20, 2022

Top tips:

(1) Follow official accounts – sometimes they will share specific rules about their airdrops ahead of time.

(2) Carry out a minimal amount of research on a project. 

– If a top-tier project is being built by a top team with lots of users trying to get the airdrop then it will have more stringent requirements but may also be worth more. In these instances, I would try to use more capital and try to integrate it with my everyday use. E.g. If it was a DEX and swaps functioned well- I would just try to use this for all my swaps. If fees or slippage are slightly higher than my existing exchange solution – one decent airdrop will offset this.

– If a less well-known project that is higher risk I would spend less time and capital on it. It is risky to use lots of capital with these and if there is less competition for the airdrop then they will likely have less stringent qualification rules. 

– With this framework you can have two lists of airdrop opportunities, one which is just quickly move capital through, the other to use over a longer time horizon.

(3) Don’t view this as solely airdrop farming.

View it as part of your research process. If you are interested in an ecosystem, the best token plays are often the top projects on that ecosystem. Simply use the ecosystem and its top protocols as a process to better understand any ecosystem you are interested in. 

(4) Use flagship features of the protocol.

If its a DEX – make trades and provide liquidity. If a lending protocol – lend and borrow. If it has other secondary functions they are less likely to result in increased airdrop tokens.