From airdropped diamonds to nothing: 70% of airdropped coins have fallen since TGE

author:Aylo

Compiled by: Xiaobai Navigation coderworld

Airdrops played a major role in this cycle.

I'm curious how many of them were launched through airdropsTokenThe price after the first day of listing was still higher than the issue price.

This may answer the question of whether the airdrop should be held (and whether holding it will be profitable).

我整理了数据，只研究了前 500 名的代币。虽然使用的是今天早上的价格，可能有些滞后，但应该能反映出整体趋势。

Here are the key findings:

• 23 of the 31 tokens have lost value since their initial offering, some dramatically

• Only 4 of 31 tokens have outperformed BTC since initial coin offering

• Since its initial issuance, only 1Xiaobai Navigation Tokens launched in 2018 outperformed BTC

• Two meme-related airdrops were very successful - BONK and DEGEN. Despite the current controversy, TIA is also priced well above its launch price, but outperforming BTC.

Sell the airdropped tokens and exchange them for USD or BTC is almost always the right choiceYou might get lucky (some would call it skill) and sell during the initial post-issuance rally, but in general the longer you hold, the worse the performance.

There are always exceptions, but the odds of holding the right airdropped token are very low, especially relative to BTC. If you are really bullish on a project long term, you can almost always buy it after the launch date at a lower price. The next bear market may make these tokens a better investment. There are some really good projects on this list.

Airdrops aren’t the only reason these project tokens are falling.Many times they work with market makers to set valuations too high. Users ruthlessly sell the airdropped tokens and soon find out that the valuations they set themselves were complete bullshit.

Many people have learned during this cycle FDV It actually matters. Holding an airdrop means you believe there is enough demand for the token to push the price higher in the event of a massive unlock and investors hedging their bets.

Mercenaries will sell no matter the price because they are only there to extract their gains and leave. However, in theory, tokens should be able to recover from these “mercenaries” exiting, but most of the time data shows that they do not. Of course, some of these tokens still have time. This is just a random snapshot and the situation can change quickly.

People love to complain that many airdrops are poorly designed, but based on this data it seems difficult to execute an airdrop that doesn’t negatively impact the token in the short and medium term (long term TBD).

Two accidentally airdropped meme tokens (without a points program) have delivered the best returns to holders at very low initial valuations. Both were designed to help different ecosystems (Solana and Farcaster).

In the past, we have seen many meme airdrops drop to zero in an instant, so you certainly cannot assume that meme airdrops will definitely perform better. Surprise + undervaluation may be a better conclusion.

I actually think points programs will continue to exist as they are a very common feature of Web2 and can bring more fun, motivation, and stickiness to the user experience, but I don’t expect airdrops to continue in the form we’ve seen over the past few years.

Based on this data, project owners should consider the form of airdrops very carefully, or whether to decide to conduct airdrops.

The article comes from the Internet:From airdropped diamonds to nothing: 70% of airdropped coins have fallen since TGE

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