Airdrop

 An airdrop refers to the free distribution of a new token or cryptocurrency to the wallets of active community members, primarily as a marketing strategy to boost the token's popularity and encourage widespread usage. Blockchain startups often employ this approach to enhance awareness and adoption of their digital assets. Typically, to qualify for an airdrop, participants may need to complete specific tasks such as downloading an application, referring friends, or holding a certain amount of another cryptocurrency. Airdrops serve not only as a promotional tactic but also as a way to incentivise engagement within the crypto community. Some airdrops also aim to distribute governance tokens, granting holders voting rights on the platform further integrating them into the ecosystem's development and decision-making processes.

Share this term

Automated Market Maker (AMM)

See full definition

Automatic Replay Protection

See full definition

Crypto scoop

Sign up for our weekly newsletter

Stay informed with the latest updates to buy, sell, and store your crypto on the go.

phone

Download the Yellow Card app

Start trading crypto with ease

Get the Yellow Card app to buy, sell, and store your crypto on the go.