Airdrop crypto: 3 factors to consider when analyzing a project that could potentially release a token

In this article, we look at 3 key aspects to consider when analyzing a crypto project that could likely give us an airdrop.

When doing airdrop hunting, the choice of chains and web3 protocols on which to do on-chain activity is not random, but is supported by a very specific study that makes us understand how likely or not a token is to be launched for a decentralized infrastructure and on what scale.

Below is a detailed explanation of these 3 factors.

Venture capital investments can justify conducting crypto airdrops for a community 

The first factor to analyze in a new project when looking for the potential airdrop in crypto is the investment and funding it has received during the last few months.

This is a key step as it is not always the case that development teams of a protocol or new blockchain have the funds available to invest in launching a token with rewards to stakeholders.

Funding from one or more Venture Capitals can justify the release of an airdrop, especially considering that this technique offers an immediate solution to reward direct investment with cryptographic tokens.

Obviously, the more capital that is directed toward a project, the more likely it is that some of it will be used for this purpose.

To track the latest funding in the web3 world you can rely on the Dropstab website. 

Here you can also categorize projects and rank them according to the funds obtained, initial rating, Twitter score and many other parameters. 

It is worth noting that in addition to the capital itself, it is important to observe which entities are investing in the application or network in question. 

Indeed, it is well known to industry experts that investment funds such as a16z, Coinbase Ventures, Paradigm, and Sequoia are the ones that have statistically invested in projects that over time have given an airdrop as a reward to their early adopters.

In particular, Andreessen Horowitz (a16z) in recent years has funded a number of success stories with an accompanying airdrop such as Uniswap, Aptos, Optimism, DyDx, Worldcoin, and Sui.

When successful VCs decide to jump in on a new product in the Web3 world, it means something big is behind it.

There is obviously no certainty of a token airdrop, but this information is of utmost importance in understanding the feasibility of such an event.

In this regard, the zkSync Era, LayerZero, and Starknet project teams are the ones that have achieved the highest valuations with stratospheric investments, as well as having been eyeing major venture capitals from the get-go.

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Analysis of tokenomics and possible crypto airdrop programming

Another very important aspect to analyze in the context of airdrops is that of a crypto’s tokenomics.

Once it has been determined that a project wants to launch a token, there is a need to make sure that the project plans include the possibility of a reward to the community.

In fact, if there is no indication in the planning carried out by the relevant team about a dedicated allocation to early adopters or supporters of the decentralized ecosystem, we can from the outset discard the airdrop option.

On the other hand, when guidelines are published regarding the breakdown of the supply of a token that is about to be launched and we find references of rewards for the community, it is clear that an airdrop or similar incentive system (e.g., “incentivized testnet“) will be carried out.

The greater the amount allocated for these purposes, the greater the reward for the end user who is eligible.

For example, in the tokenomics of the next Starknet token, a 9% share has already been allocated to the community, hence we imagine that there will be an airdrop and that it will be very substantial given and considering also the success that the chain has been experiencing in recent months.

In reference again to the tokenomics talk, it is very important to always stay in the loop and routinely check all the latest updates of the projects you are following. 

This is because those at the head of a protocol or chain could hint with the announcement of an airdrop through complex words that nevertheless underlie a single operation.

At the same time, there could be some clarification of future intent by explaining that a cryptographic token will never be created or that it will be some time before that happens.

For example, on the previous ZkSync blockchain infrastructure website it said that while there was no governance token yet, the goal within a year (it has already been more than 7 months now) was to fully decentralize the sequencers.

The word “decentralize” applied in this context means only one thing: to create a token to be distributed equally within one’s community.

This is why so many individuals eagerly await the release of the layer-2 zk rollup token.

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The concept of popularity on social media and search engines

Finally, the last concept to study in order to zero in on the timing of one’s operations for possible airdrop is the popularity that a cryptographic project registers on search engines and social platforms.

There is a need to know that when the unfolding of a reward system for users of a Web3 infrastructure is announced, insiders choose a specific timing based on certain parameters.

If, for example, after a phase of hype and strong attention towards a protocol, a declining phase begins to be pronounced, it is possible that the airdrop of a token will be launched to bring back investor interest.

At the same time, it is crucial to consider that during bearish market seasons when Bitcoin and the altcoin sector mark low volumes and disappointing price performance, it is unlikely that a project will decide to inaugurate a token.

It is worth remembering that the airdrop is a marketing strategy hence this is set to get as much media resonance as possible and consequently not considered at all in times of low interest in the crypto market in general.

In this regard, before we can savor high rewards from protocols and chains, it will be necessary to wait until at least the return to 30,000 BTC and for market volumes to overcome this depressed phase.

Market aside, to assess the popularity of a project we can rely on Google Trends data by setting the entire globe as the geographical area of analysis and the last year as the time horizon.

airdrop crypto

Another very interesting aspect to check the popularity rate is to observe the activity on social media such as Twitter and study the various posts published by users.

If we find several influencers talking about an upcoming airdrop and in parallel we see significant interactions, we can infer that the narrative of a crypto reward is becoming popular.

On the other hand, if we find few references related to the selected key word, it means that interest is low. On words such as “ZkSync airdrop” “Layer zero airdrop,” “Linea airdrop,” “Starknet airdrop,” and others, we will surely find a high number of posts from the Twitter community.

However, it is absolutely important to beware of the large number of scammers trying to lure the public to their traps with phishing attempts, bogus smart contract platforms and malware. Block these profiles immediately and always be on the alert when doing this kind of research. 

Never click on suspicious links without verifying the source and never link your wallet to a decentralized application by not going through the official links.

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