Why do ICO's make Airdrops?

[Jumli]

it seems that it is a very good promotional method to do other than that to do that too is not that difficult and it gives big advantage to the successful ico in their altcoin sales transaction problem.

[onesalt]

During the airdrop process, you promote the campaign, join the community and involve the project. It is a cheap way for ICO owners to promote their projects, since almost 1000 people join their telegram groups, share the ICO on social media etc., the only thing they lose is small amount of tokens they distribute.

[Zeraphine]

Companies hold airdrop campaigns in order to have a larger audience of potential investors, to spread their concept around big groups of people. It is some kind of an advertising campaign.

[Alex077]

I signed up for an ICO the other day and saw that they were giving away quite a lot of tokens for just signing up with Twitter and Telegram. How do they benefit from this? Do they just want more followers or do they want to get rid of tokens? Or is it maybe just a scam?

That's most effective and the easiest way for new projects to advertise their tokens and to attract a lot of new users. Thousands of new projects used that is proven and well-tested system. You get them for free, and when you start using coins - you become part of the system.

[hardbakker]

I signed up for an ICO the other day and saw that they were giving away quite a lot of tokens for just signing up with Twitter and Telegram. How do they benefit from this? Do they just want more followers or do they want to get rid of tokens? Or is it maybe just a scam?

That's just a way of quick promotion of the forum's threads, socials and telegram.
If an experienced investor sees that there was an airdrop he understands that there is ~ 20-30% of real (interested) followers in the project. Others follow because of airdrop's task.

[casternetwork]

I signed up for an ICO the other day and saw that they were giving away quite a lot of tokens for just signing up with Twitter and Telegram. How do they benefit from this? Do they just want more followers or do they want to get rid of tokens? Or is it maybe just a scam?

They have to create Airdop to distribute free coins, I know that is very little but they do so their community is crowded and more well known. Then there will be more people investing in their ICO. But that is why ICO buyers are losing money because many people get free coins at low prices

[IrenNTA]

In some cases ICOs can cancel their main public token sale and hold an airdrop instead just for legal reasons, or if they want to distribute their tokens evenly between the whole community. For instance, Ontology did an airdrop where all whitelisted members who passed KYC got a pretty large amount of tokens which could be sold for 11 ETH at the highest point.

[sadwage]

I signed up for an ICO the other day and saw that they were giving away quite a lot of tokens for just signing up with Twitter and Telegram. How do they benefit from this? Do they just want more followers or do they want to get rid of tokens? Or is it maybe just a scam?

 I think because they need a supporter for their ico so they need more people to join their telegram and like facebook pagw follow their tweeter ang give extra token for every referral.

[fatenmo]

Airdrop campaigns are a form of advertising and so are important to an ICO.
Since there are prerequisites to receive the airdrop, such as joining a telegram group or twitter etc, it helps the ICO build a community and create hype. Seeing the a lot of people are signed up to a telegram or twitter etc attracts new participants and so the community grows. This also attracts investors

[crampus]

ICO campaign thinks that users will quickly sell, thereby increasing the number of tokens, and less will have to burn them

[xGeraValerax]

Large investment funds with sufficient capital can enter the ICO. This means that investors of such funds, although they will not become immediate owners of the project's tokens, will be able to profit from its development.

[cardoyasilad]

It's a way of advertising and increasing also the volume remember that CMC now requires $100k volume to be listed so airdrops is a big help

[meldrio1]

they do airdrops because they want to gather more investors their ICO they just advertising, if you join their airdrop there are simple task to do before you receive tokens like following their twitter, joining their telegram, signing up into their website and etc. to advertise their ICO, maybe the airdrops are the cheapest advertising.

[madgtr]

Most of them are not scam. It's just a way to reach out to the community so that they can advertise their project.

[beetlejam]

It's a marketing tactic.

It gathers a bunch of people who could be interested into a funnel. I.E. sign up to telegram or join the website. They can create good traffic / community building this way.

Also spreads the token out over many users, which is an advantage, or can be used to target people who might be interested in their token as they have other similar tokens.

[hdtqisg]

I signed up for an ICO the other day and saw that they were giving away quite a lot of tokens for just signing up with Twitter and Telegram. How do they benefit from this? Do they just want more followers or do they want to get rid of tokens? Or is it maybe just a scam?

They need more member and more trading after ICO! But i think they need more people join with them to get an ICO successfull! 

[Shenzou]

I signed up for an ICO the other day and saw that they were giving away quite a lot of tokens for just signing up with Twitter and Telegram. How do they benefit from this? Do they just want more followers or do they want to get rid of tokens? Or is it maybe just a scam?

It is just a way for them to promote their ICOs, because think about it they tell you to sign up with twitter, the more twitter followers they have the more likely they will become trending which means more and more people will see them, or you sign up and you tell your friend to sign up and he tells hes friend winch keeps the circle going, so instead of paying thousands of dollars to put ads on social networks they let the people promote their ICOs by signing up and pay them with it.

[Choii]

Why do ICO's make Airdrops?

That's the strategy to promote their project and make their ICO successfuly and they want to increase the value of their token because almost all people can saw their project through their social media.

[chocolaty]

ICOs make airdrops for the sake of drawing people's attention. That is their marketing strategy. When people hear airdrop, they think most of free money without knowing that its equivalent value is too little. They are just being used to increase the ICOs popularity.

Before, I like joining airdrops. But upon receiving, never did I earn a big amount of money out of it. That's when I realized,  I'm a fool.

[cryptochr]

Its for advertising and a good opportunity for us to gain a few extra tokens.
There are airdrops that are scams so be careful which ones you join