Why Airdrops???

[IsuruMaduranga]

I saw few newbies have asked in Altcoins section "Why airdrops?"
So i post this detailed explanation for all of them here.. 

As far as i know there are few types of Airdrops and few intentions of them.

1. Before ICO Air drops

These are done before launching an ICO.
To get public awareness of the project, get telegram members , get Twitter followers , get likes for the Facebook page etc..

2. After ICO Airdrops  

Some projects airdrop their unsold tokens to ICO participants without burning them, to avoid decrease the number of total tokens. ( ex: SP8DE )
Some projects do this after a successful ICO in specific exchanges to attract traders. (Arckblock did this)

3. Totally Airdrop coins.  

Some projects doesn't conduct a ICO instead they Airdrop the coin among general public or bitcointalk user.
Actually this is a very good strategy instead of ICO's because ICO's are hrdly getting successful these days and marketing a ICO is very expensive.
Twist coin( Twist.network ) is this type of coin and it is pretty amazing, now the price is 0.1$. They airdropped 85% of total tokens.

4. When doing a hard fork on existing block chain.  

When a hard fork is done forked coin is Airdropped among original coin holder.
As a example when a hard fork of Bitcoin, Bitcoin Cash, gave current Bitcoin holders an equivalent amount of Bitcoin Cash.
MoneroV is upcoming airdrop and Hardfork in Monero block chain. Airdrop ratio 1 Monero : 10 MoneroV

5. Referral programs.  

Those are very bad in my opinion. Some projects use give very little amount of coin to airdrop registrants an if they refer someone give more coins.
These are very aggressively used to pump up telegram members.
Ex;-Current media network became the largest telegram group using 4M$ airdrop and a referral program.

6. Scams  

Most of the airdrops are scams for getting telegram users and email addresses. Don't do those airdrops.

[siddartha1492]

Your third point is worth noting. Many new projects are realizing that conducting an ICO is a risky process due to legal issues. 2 years ago, regulations were either absent or very lenient for ICOs. But right now, the issue of utility vs. security token definition is very strict. On the other hand airdrops help quick adoption, higher community engagement and less legal headaches. Plus less questions about exchange and development!
 

[rajurathod18]

You missed airdrop for holding tokens or coins in wallet of which you have private keys in your post. This airdrop idea is fair enough for project which attracts real & serious members only to their community. There were recent airdrops based on NEP5 token for holding like QLC holding airdrop  > spotcoin airdrop & SWCH holding airdrop > Travala (AVA) tokens. Spotcoin have another two rounds of airdrop for Holding NEP5 tokens like SWCH & Effect.AI  you can take part if interested.

[Coltpython]

Airdrops are the major cause of coin dumping at exchanges. Airdrops should be reduced or banned outrightly as it is killing the coins when they get to exchange. Airdroppers dump at the lowest rates and it causes devaluation for the coins involved

[googs84]

Yup, I hate the airdrops too! They are just the cheapest ways of doing advertising for the ICO's and they take lot of time from us. The tasks might be smaller one like joining telegram, twitter following etc but they do have additional requirements which are burden on any person and thus it could turn out to be pain staking work.

I will always say that ICO's should not be doing the airdrops as it ruptures the funds for nothing and everything goes to vain at the end. It also leads to scams many time when ICO find out that airdrops eaten their most of the profits. So we as participant should also be aware that airdrop dont always true out to be gree ones.

[sebastianweyer655@gmail.c]

Most of them are junk, just collecting emails etc.

[Script3d]

Airdrops are the major cause of coin dumping at exchanges. Airdrops should be reduced or banned outrightly as it is killing the coins when they get to exchange. Airdroppers dump at the lowest rates and it causes devaluation for the coins involved

the devs of the coin is fine people dumping their coin because they get something in exchange like free marketing so its win win for both. why airdrop should be banned just because of the dumpers if these coins is doing this they are fine whatever happens to their coin.

[p3ppymon]

Airdrops are the major cause of coin dumping at exchanges. Airdrops should be reduced or banned outrightly as it is killing the coins when they get to exchange. Airdroppers dump at the lowest rates and it causes devaluation for the coins involved

This is absolutely false. Airdrops provide a fair distribution of wealth in the community and is a great resource. New users are incentivated to get more involved with the technology. There is no such thing as dump and blame the price drop to airdrop holders.

[cudusab2bx]

Very informative. I like it. I started joining the cryptocurrency. So, I think this information will be very useful for me. Learning the ways to participate in airdrops and bounty is very important to get the legit rewards. Moreover, now we may find out many scam ICOs, therefore, it seems to be very important to know this kind of information.

[invo]

Most of them are junk, just collecting emails etc.

yes, almost 90% of airdrops are trash, dont even bother to become part of any airdrops, they will just waste your time for signing up on their application form.

[teddyppap]

I saw few newbies have asked in Altcoins section "Why airdrops?"
So i post this detailed explanation for all of them here.. 

As far as i know there are few types of Airdrops and few intentions of them.

1. Before ICO Air drops

These are done before launching an ICO.
To get public awareness of the project, get telegram members , get Twitter followers , get likes for the Facebook page etc..

2. After ICO Airdrops  

Some projects airdrop their unsold tokens to ICO participants without burning them, to avoid decrease the number of total tokens. ( ex: SP8DE )
Some projects do this after a successful ICO in specific exchanges to attract traders. (Arckblock did this)

3. Totally Airdrop coins.  

Some projects doesn't conduct a ICO instead they Airdrop the coin among general public or bitcointalk user.
Actually this is a very good strategy instead of ICO's because ICO's are hrdly getting successful these days and marketing a ICO is very expensive.
Twist coin( Twist.network ) is this type of coin and it is pretty amazing, now the price is 0.1$. They airdropped 85% of total tokens.

4. When doing a hard fork on existing block chain.  

When a hard fork is done forked coin is Airdropped among original coin holder.
As a example when a hard fork of Bitcoin, Bitcoin Cash, gave current Bitcoin holders an equivalent amount of Bitcoin Cash.
MoneroV is upcoming airdrop and Hardfork in Monero block chain. Airdrop ratio 1 Monero : 10 MoneroV

5. Referral programs.  

Those are very bad in my opinion. Some projects use give very little amount of coin to airdrop registrants an if they refer someone give more coins.
These are very aggressively used to pump up telegram members.
Ex;-Current media network became the largest telegram group using 4M$ airdrop and a referral program.

6. Scams  

Most of the airdrops are scams for getting telegram users and email addresses. Don't do those airdrops.

Even for users who complained that Apple removed some useful stuff on new devices like the 3.5 mm headset jack, we still have to admit that the user experience that Apple devices batch "is always better than other products. And this is even more true when you are using smart devices in Apple's ecosystem, all synchronized. iMessage, Siri, iCloud and AirDrop are indispensable tools on every device running iOS and MacOS. In particular, most users will love to use AirDrop because of its usability and much faster than conventional Bluetooth.

[malading]

Thank you for sharing, I learned a lot of knowledge, but I still have a question. Can you tell us how to better distinguish airdrop projects? I know nothing about this now! Only blind airdrops!

[mbah]

for the moment a lot of disappointment with the majority all contain a scam. Indeed the truly proven pay too much but the scam is much more than that. should really be very thorough in selecting the best so that the airdrop could get big results.

[hcoin01]

It's a way you make money without spending money. Airdrop.
A simple method you can win by taking steps.
You can earn $ 50-100 a month without spending much time.
Crypto is easy to make money in the money world.

[nathan@paralux]

Airdrops and most Bounty programs ICO's run don't really help them much.

[Tosin12]

Airdrops seems unreal to me because I've never earned one and I'm not motivated to participate in any because of the news and feedback people giving about it most of them are shitcoin majorly reason for the airdrop is to get followers on deferent platforms by deceit. To me it's a waste of time

[tnekramor]

5. Referral programs.  

Those are very bad in my opinion. Some projects use give very little amount of coin to airdrop registrants an if they refer someone give more coins.
These are very aggressively used to pump up telegram members.
Ex;-Current media network became the largest telegram group using 4M$ airdrop and a referral program.

I think referral program cannot be consider as very bad airdrop. Ofcourse referrer must be rewarded more because he is doing as same as bounty hunters who are advertising the projects. In the other hand though the airdrop is few, participants are not forced to participate. It's all up to individual if they take or leave it.

[Benabod]

Your post might be useful to some but majority of the airdrops have defeated it's purpose and while more than 3/4 of the airdrops are fruitless ventures which have discouraged me about filling forms of airdrops I've realized most of the projects just launch airdrops to draw supporters to every available platforms and award out stupid tokens with less or no value at all.

[boyshx]

Your post might be useful to some but majority of the airdrops have defeated it's purpose and while more than 3/4 of the airdrops are fruitless ventures which have discouraged me about filling forms of airdrops I've realized most of the projects just launch airdrops to draw supporters to every available platforms and award out stupid tokens with less or no value at all.

Oh yes they always have value less than 5 USD and it means nothing to us. Those who are new are the only one who keeps filling such forms and try to think that they will get something free. But the case is they never ever get big money as the airdrops becomes mostly scam and there is huge chance of that. They only do advertising with that way, attract more investors to their on going pre-sale fill up the bag with money and when the time is finished they run away. They dont even care about the airdrops and what happened to it. Lol.

[INNOVATIVE BIORESEARCH]

Airdrops can be done because the most part of coins are not backed by any real assets, unlike equity. They don't have any intrinsic value. By contrast, our INNBC Token is backed by the value of actual physical goods such as JDM cars.

A first implication is that we are not going to do things such as Airdrops for example. The reason is simple. If we were to just give away INNBC Tokens, people could actually buy our cars for free and we would be out of business shortly. Now, we do have a bounty campaign but that is a different thing than airdrops, as you are basically paying people for a job they are doing.