What Is Airdrop Farming

If you’ve been in the crypto world for a long time, you’ve probably heard of crypto airdrops, but do you know what is airdrop farming? If you’re interested in finding out, take a look at our airdrop farming for beginners guide to learn how this strategy works. We’ll also show you how to find airdrop campaigns and start the farming process.

Here’s all you need to know about crypto airdrop farming.

What Is an Airdrop Farming?

What is crypto airdrop farming? In simple terms, airdrop farming is a strategy that involves finding and capitalizing on crypto airdrops. Crypto airdrops are marketing tactics that involve the distribution of free tokens to promote a certain crypto project. This strategy is often used within the DeFi system as it allows investors to increase their holdings without financial investments.

Namely, airdrop farming enables investors to increase the number of accumulated tokens through airdrops by bending the rules. This often includes repeating tasks and using multiple addresses.

Keep in mind that airdrop farming also has several downsides. It requires understanding how the crypto ecosystem works, which means that crypto farmers will have to be tech-savvy. Moreover, farming airdrops can be time-consuming.

How to Earn Money by Airdrop

There are several ways to earn money through crypto airdrops. These include:

How Do I Start Airdrop Farming?

Now that you know what airdrop farming is, here’s how it works. To start farming airdrops, you’ll need to find a project that offers airdrops. You can do this by using an airdrop tracker. Keep in mind that airdrops come in different forms. They can include standard, bounty, holder, exclusive, and raffle airdrops. Each type of airdrop comes with different eligibility criteria.

Next, you’ll need to set up a wallet. We recommend using the Best Wallet because it supports multiple chains. This will increase your chances of being eligible for the airdrop. Crypto farming is carried out by active participation or spreading crypto assets across multiple digital addresses.

Finding the Right Airdrop Campaigns

You can find the ongoing and upcoming airdrop campaigns in two ways: by following social media channels or joining forums and Discord channels.

Some of the best crypto airdrops right now include Base Dawgz and Mega Dice. These two crypto developers stand out from the competition as they offer lucrative airdrops. On that note, Base Dawgz will reward its users for their social engagement. Anyone who shares the Base Dawgs content on their social networks will earn points. Once the presale ends, these points will be redeemable for $DAWGZ tokens.

On the other hand, Mega Dice launched an exclusive airdrop program that will be divided into three sessions. During these sessions, its developers will airdrop $2.25 million in $DICE. Only Mega Dice members who used cryptocurrencies to play its casino games can participate in this airdrop.

How to Farm Airdrops With Multiple Wallets

Farming airdrops using multiple wallets will increase your chances of receiving rewards since you’ll use different addresses. This means that you’ll be able to qualify for multiple airdrops. However, you’ll have to hide the connection between your wallets to avoid getting disqualified.

On that note, you should never use your primary wallet for airdrops. Instead, you should use a burner wallet since this wallet is not permanent. You can create a burner wallet by creating a new account on your existing wallet.

Remember that high-profile airdrops might recognize your account as a Sybil account. If this happens, your wallet will be blacklisted. You also won’t be able to participate in future airdrops.

Maximizing Airdrop Rewards Through Active Participation

Another way to conduct airdrop farming is through active participation. Greater activity equals a greater number of tokens. This means you’ll have to regularly stake your tokens across multiple chains to maintain your presence. You should also track your progress and organize your time based on your budget.

For example, if your budget is low, you can conduct airdrop farming for 1–3 hours per week. Remember, consistency is key, so be active as often as possible. In addition to that, you should set your target ranking. This will help you determine how long it will take to complete tasks on different blockchains. Once you receive your tokens, you can swap them for more established coins on DEXs to maximize your rewards.

What Are the Implications of Airdrop Farming?

Some consider airdrop farming unethical since it can be classified as a Sybil attack. This attack includes creating fake accounts to earn extra tokens through airdrops. Sybil attacks are more common with projects that don’t have KYC and AML checks.

Moreover, airdrop farming can greatly impact token distribution, which will be unevenly distributed. This is why many blockchains have started implementing detection mechanisms to prevent airdrop farming. With that in mind, before you start airdrop farming, do your research. Participate only in crypto airdrops with a history of successful projects since there are many fraudulent projects.

Is Airdrop Farming Worth It?

It depends. Airdrop farming can be beneficial if you want to earn extra tokens via airdrops. This is especially true for projects with large user bases since their rewards will be more profitable once distributed.

Moreover, the farming process will be more fruitful if conducted on Layer 2 blockchains. Why? Since Layer 2 blockchains impose lower transaction fees.

On the other hand, airdrop farming may not be worth your time as it requires good knowledge of the crypto market, good time management, and consistency. Some airdrops may take up to nine months to launch, which is why many investors are not fans of this strategy.

Airdrop farming also comes with certain risks, such as getting blacklisted since it’s often associated with Sybil attacks.

Conclusion

So, what is airdrop farming? Airdrop farming is a strategy people use to capitalize on crypto airdrops by bending the rules. There are two ways to start airdrop farming: using multiple wallets and active participation. The former includes qualifying for multiple airdrops using different addresses. The latter consists of regularly completing tasks to maintain your presence.

Remember that airdrop farming is not permitted; some consider it a Sybyl attack. This is why many protocols utilize detection mechanisms to prevent it.

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