Types of Crypto Airdrops: Liquidity, Activity, and More

1. Liquidity-Based Airdrops

These airdrops reward users for providing liquidity to a project. Liquidity improves the total value locked (TVL), which investors and the community use to measure a project’s success. Money markets, blockchains, and decentralized exchanges (DEXs) often use this method.

Example: Linea Surge Program

• Linea is a Layer 2 rollup on Ethereum.
• The Surge program ran for six months.
• Users earned points based on liquidity provided.
• A transparent dashboard tracked eligible assets and protocols.
• Bonuses were given to early adopters and referrers.

2. Activity-Based Airdrops

Users receive these airdrops based on engagement. Actions like trading, staking, or sending transactions qualify users. These airdrops help platforms grow by rewarding active participants.

Example: Arbitrum Airdrop

• Arbitrum, a Layer 2 solution for Ethereum, rewarded early adopters.
• Criteria for rewards included:
  • Transactions over multiple months.
  • Interaction with four or more smart contracts.
  • At least 25 transactions across different smart contracts.
  • Transactions over $10K (with bonuses for $50K and $250K).
  • Extra points for transactions on Arbitrum Nova.
  • Bridge volume also counted.
• Anti-sybil measures were applied to prevent abuse.

3. Incentivized Testnets

Testnet airdrops reward users for helping test new blockchain networks. Participants use test tokens to push transactions and improve the system before its mainnet launch.

Example: Mitosis “Game of Mito”

• Mitosis is a new Layer 1 protocol.
• Users earned experience points (XP) for testnet activities.
• Testnet tokens played a role in final airdrop calculations.
• Strategy was required to maximize rewards.

4. Trading-Based Airdrops

These airdrops reward users based on trading activity. They are popular among perpetual (Perp) DEXs, which encourage trading and liquidity provision.

Example: HyperLiquid X Airdrop

• Users earned points based on:
  • Trading volume.
  • Liquidity provision with $HLP.
  • Referrals.
• The point system changed weekly based on market needs.
• The project was highly successful, reaching a valuation of nearly $14 billion.
• The $HYPE token increased more than 6x in value after launch.
• The airdrop had unique features:
  • No lockups or vesting periods.
  • Tokens were sent directly to users’ trading accounts.
  • No centralized exchange (CEX) listings at launch.
  • No staking at launch.

Comparison of Airdrop Types

Crypto airdrops serve different purposes, from increasing liquidity to boosting user activity. They help projects grow by rewarding early users and supporters. Whether you are a trader, investor, or testnet participant, there are many ways to benefit from airdrops. Stay updated on upcoming airdrops to maximize your rewards!