Dan Romero
@dwr.eth
Airdrops will trend toward advertisements at the limit. Large airdrops are the result of poor targeting tools. Inefficient spend for the project (but very good if you're in the lucky few that got a big one). Reality is projects are trying to bootstrap usage and rentention. You want to maximize $ for usage. And retroactive doesn't really solve retention. Finally, if you increase the number of tokens by 1000x, there's less money to chase each airdrop. So market caps detached from fundamentals (and other low float high FDV gimmicks) will be far less common. Will take a while for this to shift, but expect the median airdrop to get smaller over time (with more people getting them).
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MJC
@mjc716
this is all true for established tokens, not so much for TGEs
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Dan Romero
@dwr.eth
Given enough time, the TGEs will come down (unless they wait longer in project life cycle, akin to a non-crypto company going public). Magic internet money runs out eventually.
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MJC
@mjc716
to an extent, but this isn't a rational financial market in that sense. TGE is the best/only chance for most projects to break through the attention thicket, so the incentives point towards outsized and inefficient distributions
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Dan Romero
@dwr.eth
> TGE is the best/only chance for most projects to break through the attention thicket, so the incentives point towards outsized and inefficient distributions If there are 1000x tokens, the attention / money is finite. So each new TGE is more muted.
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MJC
@mjc716
and thus the incentive for inefficiently skewed distribution is even greater!
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