Airdrops vs Bounties – The Ultimate Guide
There are many standard ways of earning money online, from freelancing to doing small tasks such as filling out forms, joining communities for social media services, and so on. Crypto projects utilise similar marketing and recruitment tactics which appeal to crypto enthusiasts to promote, spread awareness and develop their projects. However, in digital assets, the rewards are distributed directly from the coin or token involved into the wallets of airdrop or bounty participants.
The success of crypto projects depends on awareness, building a community and gaining their support. Coincidentally, this “giveaway” of sorts involves following a project on their social media accounts, helping in its marketing efforts. As the number of coins and tokens increased, this practise became more common in 2017 and escalated a year later.
How to Join an Airdrop & Get Free Tokens
Websites like airdroprating.io made this easier by giving users a platform to follow the latest airdrops along with instructions to earn some free tokens a few steps away. Namely, this usually involves following a few social media platforms, retweeting the projects post and registering for telegram servers. Otherwise, dApps airdrops require symbolic participation in their online platforms which can be another learning experience about the crypto ecosystem.
Airdrop Benefits for Projects and Participants
Airdrops can be considered leads in marketing terms, as participants might take their time to read about the project and invest in it if it sounds promising. Concerning crypto projects, airdrops ensure that coins are distributed evenly, and when they enter the market, there’s enough in circulation for the token to have liquidity. Moreover, if the time comes for the token to be voted in on an exchange, it increases its chances by mobilising their supporters through shared interests. On the airdrop participant’s side, one gains free entrance into the world of cryptocurrency, learns to work with wallets and “catch the crypto bug” when the coins land in their account.
Interestingly enough, the first airdrop was created by Satoshi Nakamoto, who was willing to give out Bitcoin to people who would create a node. Not many are aware, but blockchain forks are also considered airdrops, for instance – Bitcoin holders received Bitcoin Cash during the hard fork. More recently, airdrops consisted mostly of ERC-20 tokens, whereas today airdrops include EOS tokens brought about by projects and Dapps.
Similar to airdrops, the primary use of bounties is promotion through various social media activities, content creation, or forum posts designated by the project’s developers. Additionally, they include bug bounties for coders, translation services or moderating channels in foreign languages. Sometimes, they require a bit more skill and effort than airdrops, especially when it comes to bug bounties, which are challenges for finding vulnerabilities in a project’s code.
The easiest bounties incentivise users to promote projects in various stages through social media posts and reposts on Twitter or Facebook. Another type of bounty issued is for content, including creating logos, Youtube videos or posts on Medium, a widely used blogging platform for cryptocurrencies. When it comes to forum posts, the platform of choice is bitcointalk, where users must put the token or coin logo on the signature and display it on each new post they create or a thread they start.
Lastly, the oldest type of bounty is a bug bounty, where ethical hackers are encouraged and rewarded for finding bugs in the project’s code.
For social media activities, the rewards are proportional to how many retweets or shares the bounty hunter gets. Likewise, social media bounties, the rewards for content creators depend on video or post views as well as the traffic they bring to the project’s webpage. In regards to forum posts, users are awarded tokens depending on their membership seniority level, whereas logo and bug bounties are usually predetermined. However, bug bounties can be project critical, and a reward panel may increase the reward for severe vulnerabilities.
Bounties - More than Promotional Activities
Emerging crypto projects sometimes end up with more work than they have hands-on-deck. Thus, they turn to the crypto community and distribute tasks they can’t keep up with in exchange for tokens. For projects, it’s an excellent way to cover their social activities and manage their projects during development and expansion. Crypto bounty hunters, on the other hand, can couple bounties and airdrops for some passive income while developers with extra time on their hands can also earn some tokens on the side.
Airdrops vs Bounties – The Ultimate Comparison
For all their differences, everyone can participate in airdrops as well as some forms of bounties, such as social media and forum bounties. Any crypto enthusiast can be a forum contributor, and if you’re passionate about digital assets, your input will be appreciated. That brings us to another important point; you get to earn more from airdrops and bounties as you go along.
However, having in mind some bounties require a specific skill set that you might not have the talent for or the extra time to learn it, you should stick to your strong points. Next, the main difference between airdrops and bounties is that you can participate in an airdrop once, while bounty campaigns are ongoing. Finally, airdrop and bounty activities are an excellent way to get paid while learning about cryptocurrency but, follow the guidelines accurately to make your effort worthwhile.
The above references an opinion and is for informational purposes only. Do not take this as personalised financial advice or investment advice. The views expressed by the author do not necessarily represent the opinion of BitPrime.
Last updated: 06/03/2020