Research Summary
The report provides an analysis of potential airdrops in 2024, using a framework that evaluates projects based on funding, points program, Total Value Locked (TVL), dilution, momentum, and effort. The top five potential airdrops identified are Ethena, EigenLayer, B² Network, Stride, and Blast.
Key Takeaways
Framework for Evaluating Airdrops
- Assessment Criteria: The report presents a framework for evaluating potential airdrops, focusing on six key areas: funding, points program, TVL, dilution, momentum, and effort. This framework helps to identify the most promising airdrops among the thousands available.
- Importance of Funding: Well-funded projects are more likely to launch a token and have a large airdrop. The report suggests using tools like DefiLlama to filter potential airdrops by ‘Total Money Raised’.
- Points Program and Dilution: Projects with a points program are more likely to conduct an airdrop. However, a high TVL can lead to dilution due to the involvement of numerous wallets. The report advises aiming to be in the top 10% of wallets to avoid dilution.
- Momentum and Effort: The report emphasizes the importance of focusing on ecosystems that are gaining attention and chains that are user-friendly. It also suggests preferring airdrops that allow for passive farming to minimize effort.
Top Five Potential Airdrops
- Ethena: A synthetic dollar protocol built on Ethereum, Ethena has attracted significant attention since its recent launch. It has raised $20.5 million through funding rounds.
- EigenLayer: This restaking protocol built on Ethereum has a TVL nearing $8 billion and has raised $64.5 million in funding. The report suggests that its airdrop could be the biggest of the year.
- B² Network: A Layer 2 rollup solution on Bitcoin, B² Network has over 24k addresses deposited and over $400 million in TVL. It recently announced an airdrop for early users.
- Stride: A liquid staking platform for IBC blockchains, Stride’s stTIA Airdrop has been extremely popular. Users can earn $STRD rewards by holding the liquid staked TIA.
- Blast: An Ethereum Layer 2 solution with native yield for ETH and stablecoins, Blast has amassed over $1.8 billion in TVL in just a few months and has significant backing ($20 million).
Actionable Insights
- Consider the Framework: Investors interested in airdrops should consider the framework presented in the report, which evaluates potential airdrops based on funding, points program, TVL, dilution, momentum, and effort.
- Focus on Well-Funded Projects: The report suggests that well-funded projects are more likely to launch a token and have a large airdrop, making them potentially more profitable for investors.
- Monitor TVL and Dilution: Investors should monitor the TVL of potential airdrops to assess the likelihood of significant returns, while also considering the potential for dilution due to the involvement of numerous wallets.
- Consider Momentum and Effort: The report advises focusing on ecosystems that are gaining attention and chains that are user-friendly, as well as preferring airdrops that allow for passive farming to minimize effort.
