How to Make Money with Crypto Retrodrops and Airdrops?
Blog » How to Make Money with Crypto Retrodrops and Airdrops?
Although cryptocurrency has long been an integral part of our lives, new opportunities for making money with it continue to emerge. In the past, when there were fewer coins available, one could simply purchase them and hope for an eventual increase in value. However, the landscape has evolved, and now there are new avenues for earning. These include sales, NFT trading, traditional cryptocurrency trading, and even arbitrage, which involves profiting from variations in coin prices across different trading platforms in various countries.
👉🏻 Today, we’ll explore another popular method of earning money with crypto – airdrops and retrodrops.
What is Airdrop?
A cryptocurrency airdrop refers to the free distribution of crypto tokens to user wallets, which can later be exchanged for fiat currency. This practice is often employed to promote a new coin, attract attention, foster wider adoption, and build communities around it.
While some coins are distributed unconditionally, more often than not, users are required to complete a series of simple tasks to receive them. These tasks may include participating in project growth initiatives, holding a specific currency for a designated period, or simply registering on a platform or subscribing to its social media pages. Importantly, these tasks are typically unrelated to exchange operations.
Why Launch and How to Make Money on Airdrops?
According to Decrypt, airdrop companies distributed over $4.5 billion to users by the end of 2023, with Arbitrum leading the way by distributing nearly $2 billion 💰 worth of tokens.
💸 The ARB price at its high was $2.2.
Why do this? The primary goal of any airdrop is to attract new users. While skepticism may arise when people hear about free money being given away, positive reviews and successful distribution stories generate genuine interest and encourage individuals to explore the possibility of earning money themselves.
It would seem that the ideal situation happens when you simply monitor who is conducting the next airdrop and when, study the conditions for receiving it and receive cryptocurrency. But not everything is so simple, because there are risks here, as in any financial market.
- First of all, there is no 100% guarantee of receiving cryptocurrency, as meeting all the conditions only increases the likelihood, but does not guarantee success.
- Secondly, there is very high competition. Many people love getting something for free, so the number of people who fulfill all the conditions will be simply huge. And many of them will use special software, which will create accounts and immediately fulfill all the conditions.
- Thirdly, “conditions under an asterisk”. Sometimes it happens that the token can’t be sold within the specified time, and it just stays in your wallet.
👇 The bottom line is that you can spend time and effort and end up with nothing. Therefore, always carefully study the companies that are giving away new airdrops. But if you decide, we recommend the following algorithm of actions on how to make money:
- Platform analysis.
- Studying the conditions for receiving tokens during the airdrop.
- Creating multiple accounts through the antidetect browser, since multi-accounting will most likely be prohibited by the platform rules. This is a particularly important point, since the more accounts you can make, the more you can potentially earn.
To streamline the process of monitoring airdrop distributions and identifying new opportunities, several websites publish relevant information, including:
☝️ Knowledge of ongoing and upcoming airdrops is crucial. These platforms also offer additional valuable information from the crypto world.
What are Crypto Retrodrops?
Retrodrop is the distribution of cryptocurrency to project participants who joined them and performed certain actions. For example, token swaps, using bridges or providing liquidity. Instead of regular marketing campaigns, cryptocurrency retrodrops are used to attract active users to the product. This method allows you to engage active users and attract investor interest. What is the difference between a retrodrop and an airdrop? Approach to distributing tokens to users.
This is all done for the same reason as with airdrops – to increase interest in the project among the audience and increase its support. Thus, loyal users who have already received something from the platform can tell new ones about it. Having such an “old” and loyal audience has become especially important in recent years as competition in cryptocurrency has become much more intense.
How to Make Money on Retrodrops?
The conditions for earning retrodrops vary, and fortunately, not all require monetary investments, although these increase the likelihood of receiving cashback.
📌 So, the conditions for receiving cryptocurrency may be the following:
- transaction quantity;
- transaction volume;
- availability of NFTs;
- activity during a given period.
One of the latest examples here is StarkNet. This layer-2 blockchain distributed tokens for the following actions: 5 transactions, three months of activity in a row, a trading volume of $100 or more, and a balance of 0.005 ETH. For all this, participants received 500 STRK per wallet, which now costs about $2, which, with the simplest mathematics, grows into a very good amount.
Guide to getting tokens on Binance
🏦 You can also get tokens for holding or staking cryptocurrency. For example, the blockchain platform Dymension, which specializes in the development and deployment of appchains called RollApps, distributed drops for staking TIA. Users had to stake one token and then receive a drop of about $1000.
If the user provides value to the project, then he can also be rewarded for this. For example, for ensuring internal liquidity and long-term hold.
Effective marketing efforts, including social media promotion, content creation, and community moderation, may also be rewarded with tokens. Monad, a decentralized platform, recently distributed Wormhole tokens to its most active community members worth about $12,000.
If you were one of the first to register in the project or participated in the testnet before the project entered the mainnet, then you can get tokens for this too. This is done in order to form the backbone of a loyal audience that will become ambassadors and advocates on the Internet.
These examples illustrate common criteria for retrodrop distribution. Platforms leverage imagination to enhance their appeal to users and investors, resulting in diverse retrodrop offerings.
How Much Money Can You Make on Retrodrops?
🤔 Earnings potential from retrodrops is subjective and influenced by various factors. However, a typical retrodrop profit model involves:
- Balancing wallet deposits to avoid association with a single user and potential bans for multi-accounting
- Interacting with multiple projects and protocols
- Distributing activity over time to coincide with periods of low gas fees (retrodrop activity on the network)
- Monitoring blockchain account statistics using dedicated tools
- Withdrawing funds to sub-accounts on centralized exchanges
Consistency is key, and maintaining regular activity across different protocols and in varying amounts at different times is essential to diversifying wallet holdings.
It is also advisable to be a “real” user: do not withdraw all funds from the wallet, leave at least native tokens for a commission of 0.005 ETH or more.
Where to Find Retrodrops?
Defi Llama maintains a list of current and potential cryptocurrency retrodrops, allowing participants to prepare in advance. Prior knowledge enables effective participation, so it’s advisable to research the most suitable proxies for retrodrops and create multiple project accounts using an anti-detect browser to maximize reward potential.
Conclusion
While profiting from retrodrops and airdrops requires effort and strategy, the potential rewards make it a worthwhile pursuit. Before embarking on this journey, thorough research into potential projects and token distribution conditions is essential. While earnings are not guaranteed, persistence and vigilance can lead to success. Remember to remain cautious and avoid potential scams.
💪🏽 Feeling determined? Explore our article on the best tools for crypto enthusiasts and start your crypto journey equipped with valuable knowledge.
