Weekend chat: virtual currency, two or three things in the blockchain world: 2022 (21)

airdrop

Virtual currency users often get a term called an airdrop. An airdrop is a blockchain project and event where developers send free virtual currency to community members. Its main purpose is to send newly minted ghostwriting to hundreds or thousands of different wallet addresses, thus expecting the wallet owner to participate in the project of minting tokens because of the tokens obtained out of thin air [1].

The airdrop mentioned here is not the same as the creator of Shiba Inu coin who transferred half of the tokens to Ethereum's Buterin. First, we are not V God, and no one will give us so many "airdrops"; second, by definition, airdrops are sent to multiple wallet addresses rather than a single celebrity.

Although Buterin destroyed 90% of Shiba Inu coins and donated the rest to India, which was in the difficult area of the new crown epidemic at the time. But the development of the whole event is more like a hype. Note I'm not talking about hype to India, but an "airdrop" of half the tokens. The effect is positive. Suddenly, many people began to follow Shiba Inu coin, and even surpassed the Doge coin that Musk admired for a while, but it was still a hype [2].

In today's virtual currency bear market environment. It is unrealistic to expect a slight increase in price parity. Then virtual currency will not disappear. That is to say, although the value of airdrop tokens obtained by token holders is not high, if they can become a dominant force in the future, it is not a passive income [3].

So, are airdrops safe?

Some are safe, some are not, and some are more than worth the loss. Below I will analyze them one by one.

When Ampleforth airdropped its own management token last year, users who have owned the native token $AMPL can get the management token $FORTH. When the management token was just minted and airdropped, the value of $FORTH was as high as $50+. Although it has now dropped to the level of a few dollars, it was still quite prosperous at that time through the popularity of the entire virtual currency.

In May of last year, the fees on the Ethereum chain were not so crazy; after removing the fees, many people made a small profit.

It can be seen from this airdrop case that although the airdrop of a virtual currency system that is relatively familiar and recognized by the public has developed for a long time, the price after being pulled up and shipped may be unsatisfactory. However, as long as the shot is made, it will be shot , it is relatively easy to obtain rich returns in timely trading.

I believe that users who have wallet addresses on TRON have seen a bunch of tokens with loud names; they may wonder why DOT or Dogecoin appeared here? What's even more unclear is why someone would send themselves a bunch of these tokens?

That's where the insecurity is in the shorts. Anyone can mint tokens on the blockchain, and as long as it is a name that has not yet appeared on the chain, they can use it to name the newly minted virtual currency. These seemingly legitimate tokens are actually not secure. Users who get the airdrop may be blinded by the predicted price on the blockchain browser when checking the value of the token. Sign the smart contract and approve the transaction [4].

Sometimes the transaction fails, and the information on the reason for the failure may lead the user to fill in the information on the token website, or even submit a Mimi recovery phrase.

At this time, users may put a big question mark in their minds: why should they hand over so many secret things to others? It's good to have this kind of awareness, and I'm afraid of users who give it away casually. The wallet will be emptied by criminals [5].

As we all know, the fees on Ethereum are high, and sometimes the airdrops received in the little fox wallet can cost a lot of money to transfer to other places. Or the airdrop has lock-up restrictions. When the original funds are consumed and the airdrop is transferred to a place where it can be traded, the token price of the airdrop will be lost if it does not come out.

This can happen, too; especially in the current bear market environment.

Can you get rich with airdrops?

Maybe, but it's also possible that it's just a small profit. In the past six months, there have been numerous airdrops on the Cosmos chain. However, the total value that needs to be staked in the airdrop conditions is also increasing. It makes people feel that those who are not rich are afraid to apply for airdrops.

It is still recommended that you do what you can. You don’t have to move your assets in order to meet the airdrop standards. You must calculate the amount of your investment and the ratio of your return.

crisis of confidence

Since the sharp drop in Bitcoin price this time, we have seen many centralized exchanges and capital crises in lending centers; especially the sudden freezing of all transfers and transactions like Celsius Network, which has made currency holders panic[6] . Not only major layoffs at Celsius Network, Coinbase[7] and BlockFi[8]; Metaverse, which had to die in May, pledged to keep all staff in the face of falling stock prices[9], Zuckerberg joined Musk in late June Bad economics [10][11].

Originally, when inflation and the stock market ebb, and the people did not dare to use their money to buy things, gold or virtual currency should be the most attractive time to attract funds from Europe. But why is the virtual currency we love so lost?

I don't study economics, and I don't sing HODL like many internet celebrities on Twitter. In fact, it was these internet celebrities who muttered every day and quickly moved bitcoins from the trading center back to their wallets.

I believe that personal cold wallets are definitely more secure than trading centers, especially centralized platforms. We’ve also seen events like BlockFi and Celsius Network panic enough for virtual currency followers around the world. However, for ordinary users, the negative news on the self-media is enough to make everyone afraid and sell their assets at a loss.

Everyone seems to have distrusted this huge potential market.

It is understandable that when Bitcoin fell from 60,000 to 19,000, everyone was in a panic. Aren't some of the bigwigs in the Bitcoin world posting funny memes about working at McDonald's from time to time? Although they are all looking for fun, they will also enter the hearts of ordinary users.

Personally, this is actually a good thing. In the stock market, people think that any stock can be profitable, and finally lose the pants. The popularity of various Dogecoins in recent years has really been a popular thought that no matter what it is, whether it has a practical use or not, as long as it is a virtual currency, it can make money. From the stock market, we can infer that it is impossible for the virtual currency market to make money all the time. And the experience of the past few years can tell us that the holes of virtual currency are more frequent and violent than stocks.

Dispute When everyone is suspicious of the market, we can return to the most basic properties of virtual currency. What is virtual currency, blockchain and what Web 3.0 is really trying to solve. Learn the fundamentals from scratch. For too long we have believed in magic money that can be made out of the air on the Internet.

Now is the time when we get back to the true meaning of Trustless.

Nutbox NFT

Nutbox NFT staking officially started in the community of global ambassadors [12]. I still need to understand the process of ERC 1155 on Binance Smart Chain, so far I don't know where to see the true face of NFT. It’s still like ETH’s blockchain browser, and you can look at the picture directly.

But for now, it is good for me to pledge. Anyone who has played multiplayer online role-playing games for a long time knows that the growth of the value is the most important...

Just kidding, I should still thank my colleagues in graphic design, they spent so much time designing, and the designs are very cute, so I must promote it for them.

The growth rate of returns seems to be good. Looking at the NFT pledge of Working Group, 539 peanut coins can be obtained in 24 hours; almost 200,000 can be obtained in a year. Now two new pools, Creativity and Accuracy, have been added; or the NFT method of these two pools is your contribution. Just like playing games and doing tasks, different tasks get different NFTs.

As far as I know so far, these NFTs cannot be bought and sold yet. They are purely pledged tools, and I hope they can be used for more purposes.

For my global community of ambassadors, our mission is nothing less than the work of grand ambassadors. However, it should be interesting to imagine that when NFT staking is fully opened, each community can create various gameplays for its own community members through different tasks.

All we need now is to let the price of Peanuts go up.

Cited Articles

1. https://www.coindesk.com/learn/what-is-a-crypto-airdrop/
2. https://finance.yahoo.com/news/vitalik-buterin-burns-90-shiba-072459878.html?guccounter=1&guce_referrer=aHR0cHM6Ly9kdWNrZHVja2dvLmNvbS8&guce_referrer_sig=AQAAAKe6IiQyI6LvYT2mStPeJOe7CywvykMNwmQQfhAd0M_QhzJAknPNiqHE9GqBhOSfFu6wtvw9tB_3iqthhUv0cFmoFWd-hRXJMqOFzP5Ft5H3OUxQ4IFbxQ8bbpoQsgvqmOjipzLbuUpbmLrHdCyqal7csnUlrjRFyAXyZt6guO9y
3. https://cointelegraph.com/news/how-to-earn-crypto-passive-income-with-forks-and-airdrops
4. https://stopnftscams.com/nft-scams/airdrop-scams/
5. https://medium.com/metamask/phisher-watch-airdrop-scams-82eea95d9b2a
6. https://blog.celsius.network/a-memo-to-the-celsius-community-59532a06ecc6
7. https://nypost.com/2022/06/18/coinbases-layoffs-show-growing-callous-side-of-cryptos-plummet/
8. https://www.marketwatch.com/story/blockfi-to-lay-off-20-of-employee-the-latest-crypto-company-scaling-back-headcount-11655139990
9. https://nypost.com/2022/05/19/mark-zuckerberg-doesnt-expect-meta-layoffs-despite-stock-crash-report/
10. https://www.marca.com/en/lifestyle/world-news/2022/07/03/62c1d738e2704e523d8b459c.html
11. https://www.theguardian.com/technology/2022/jun/21/elon-musk-says-a-us-recession-is-inevitable
12. 12: https://app.nutbox.io/#/sub-community/erc1155?id=0xc54C1F0E7A75Fb405038891E316c973D26Bf0125