Hello. Can somebody explain to me what is airdrop and how it works? How company organising airdrops make money on it? Is it all about marketing? Thanks
Airdrops are a free tokens which you can earn for doing a simple tasks on different social media. The company is given out cryptocurrency/tokens in order to attract new investors and to increase their userbase. Main reason for airdrops is to get users who spread the word about new project all arround the internet on social platform. Normally company allocates chuck of tokens for airdrops before the tokens goes for public sale.
Airdrop is a form of gift from developers of a given cryptocurrency and an effective marketing tool. The airdrops take place at the moment of announcement to the network of the block with a predefined number. If Airdrop is scheduled for block number 50, at the time of announcement of the block in the network, we receive a new currency. In the case of airdrops you get new cryptocurrencies in a certain ratio, often higher than 1:1 e.g. 1:10.
To receive the Airdrops, often the only requirement is to store coins from the appropriate block in your wallet. Examples of such drops are Byteball, Stellar lumen and OmiseGo.
It happens that airdrops are a surprise. It is worth checking your wallets, because it may turn out that you received a nice gift. Platforms such as Waves or Komodo surprised their owners by making airdrops without any notice.
Airdrop is basically a drop, i.e., distribution of free crypto in the community. The purpose of this is to arouse interest around a given project and increase its demand, which translates into higher prices.
There are two types of free token distribution. As a reward for having specific cryptocurrencies in wallet and giveaway - a free airdrop for doing a few simple steps.
At the first opportunity we are rewarded by project developers for keeping cryptocurrency on their official wallets. Personally, I've already received aidrop many times at the ETH, NEO or Waves wallets. Depending on the funds we have, we get directly proportional amounts of "dropped" tokens. The bigger the capital, the bigger the rewards.
The second option is available for everyone. It consists mainly in filling in a form, in which you usually have to use social media to: "Like", sharing, subscribing to/observing the indicated accounts or profiles. Finally, we provide our public key, i.e. the wallet address, so that after the action is over the funds will land there.
Most airdrops are carried out on the Ethereum platform, so the ERC20 token wallet, called MetaMask, will definitely be useful.
I also recommend token wallets on the NEO platform - as well as the Waves desktop wallet, which can be downloaded here https://wavesplatform.com/.
The basic requirement is also to have accounts in services such as Facebook. Twitter, Telegram, Medium, Reddit, Instagram.