Can an NFT be an airdrop?

new nft drops

history of nfts

The concept of NFTs originated with Bitcoin-based colored coins around 2012-2013, but it wasn't until 2017, with the advent of the Ethereum blockchain, that they gained significant recognition. Ethereum's ability to host NFTs, enabling the creation, storage, programming, and trading of these tokens, revolutionized the landscape.

The first NFT, “Quantum,” was minted in 2014 on the Namecoin blockchain by Kevin McCoy. However, the full potential of NFTs was realized with the Ethereum blockchain, which provided a more reliable and accessible platform for launching NFT projects. Over time, NFTs have been used to represent a variety of assets, including real estate, digital art, and gaming tokens.

The rise of NFTs has been marked by significant milestones, including the launch of notable projects such as CryptoPunks and CryptoKitties, and the integration of NFTs into metaverse projects. The NFT market experienced a significant surge in 2021, with trading volumes reaching $13 billion, driven in part by the popularity of NFTs in the art market.

Despite fluctuations, the NFT market continues to grow, with new platforms and standards emerging on various blockchains beyond Ethereum.

What is an NFT Airdrop？

An NFT airdrop is a way to send newly minted NFTs to multiple wallets simultaneously. There are two ways to receive an NFT airdrop; either it is deposited directly into an individual‘s crypto wallet by the sender, or it’s only sent to the individual once they have connected their wallet to a certain site. In many cases, an airdrop is whats called a “holder airdrop,” which means that only current holders of another NFT are eligible. In essence, this is almost like a reward for holding a specific NFT. In contrast, a “standard airdrop” are generally available to the general public, while “exclusive airdrops” may only be available to select influencers or those involved with or support the project itself.

In addition, just like other NFTs, airdropped NFTs can have significant utility, allowing people to play exclusive online games, qualify for raffles, rewards, giveaways, or get whitelisted for future NFT projects.

how to airdrop

Projects and creators often distribute NFTs by creating a new collection or sidekick by minting the NFTs and sending them to a particular group of wallets. They can also use a portion of the minted supply on later occasions.

Either way, the idea is to promote hype for that new collection, drive public awareness of the brand, or add value to the existing NFT collection. Likewise, early holders can claim a new NFT, and others have the chance to receive a new token by just doing a few tasks and at a much lower cost compared to the minting stage prices.

Creators usually promote NFT airdrops through their websites and social media channels. A particular set of tasks is outlined to claim the airdrop, such as sharing the post or tagging friends on social media, interacting with the community, and creating social media posts or blogs about the airdrop.

The most common types of NFT and general airdrops are:

Holder airdrop: these are the most common airdrops, in which projects send NFTs to wallet addresses holding a specific NFT or cryptocurrency. Generally, the more tokens the user has in their wallet, the more NFTs they receive.

Standard airdrop: these are limited NFTs in terms of quantity and time. Users are not required to perform any specific task other than creating an account and connecting their public crypto wallets to the website.

Exclusive Airdrop: this type of airdrop is a way of rewarding loyal holders who, besides holding the token for an extended period, have attended exclusive IRL events, interacted with the community, and contributed to the collection in some way. Exclusive airdrops are not meant to be confused with bounty airdrops, which are open to everyone to participate.

Raffle airdrop: rare NFTs distributed to a few selected individuals. In this airdrop, a creator will form groups using users’ crypto wallets and whitelist them before randomly choosing the winners. To participate, users typically have to sign up to the airdrop or perform a series of tasks.

nft giveaway

An NFT Giveaway is a promotional event where NFTs (Non-Fungible Tokens) are distributed for free to participants. These events are often organized by artists, NFT projects, or platforms to increase visibility, engage the community, and attract new followers or collectors.

Promotion and Marketing: Used as a marketing tool to promote new NFT collections or projects.

Benefits: Increases visibility and attracts potential buyers and community members.

Community Engagement: Engages the existing community and rewards loyal followers.

Benefits: Builds a stronger and more interactive community.

Social Media Integration: Often run on social media platforms like Twitter, Instagram, and Discord.

Benefits: Enhances social media presence and reach.

Easy Participation:Typically easy to join by following specific instructions, such as retweeting, following accounts, or joining a Discord server.

Benefits: Low barrier to entry encourages wide participation.

What Is an Initial Coin Offering (ICO)？

An initial coin offering (ICO) is the cryptocurrency industrys equivalent of an initial public offering (IPO). A company seeking to raise money to create a new blockchain app or service with a cryptocurrency can launch an ICO as a way to raise funds.

Interested investors can buy into an initial coin offering to receive a new company-issued cryptocurrency. This token may have some utility related to the product or service that the company is offering or represent a stake in the company or project.

active icos

New ICO Coin Offering

An Initial Coin Offering (ICO) is a fundraising mechanism in the cryptocurrency industry, akin to an Initial Public Offering (IPO) in the traditional financial sector. Companies aiming to gather resources for the creation of a new coin, application, or service can launch an ICO. Participants interested in the project can acquire tokens during the ICO and receive a new cryptocurrency token issued by the company. This token may have utility related to the product or service the company provides or represent a stake in the company or project.

How does an ICO work？

When a cryptocurrency project aims to gather resources through an ICO, the first step is to determine the structure of the coin. ICOs can be structured in several ways. For instance, a company can set a specific resource goal or limit, meaning each token distributed in the ICO has a preset price, and the total token supply is static. Alternatively, an ICO can have a static supply of tokens and a dynamic resource goal, meaning the amount of resources received in the ICO determines the overall price per token. Some ICOs have a dynamic token supply but a static price, meaning the amount of resources received determines the final token supply.

nft for sale

There are two main ways to sell an NFT. You can mint a new NFT, or sell one youve previously purchased. Minting is the process of tokenizing a digital item on blockchain. The two protocols used most often for minting an NFT are the ERC-721 and ERC-1155 standard protocols, either of which is embedded in each NFT platform.

Minting an NFT

Heres how you can mint an NFT for sale:

You need a PC and blockchain wallets sufficiently funded with the crypto coin supported by the NFT marketplace where you want to mint.

Create the digital item you want to mint on the blockchain. It could be an artwork, music, or a document.

Each marketplace has standard requirements for different digital item uploads, so remember to find out what is required.

Sign into the NFT marketplace and search for the “create” or “add new item” icon.

Upload a high-quality version of your digital item with a catchy name and interesting description.

Decide if your NFT will be single-edition or part of a collection, and click the create icon to mint your NFT.

Make sure you run a final check on the details youve provided before hitting the last “create” button.

Reselling an NFT

Some NFT marketplaces reward their creators by allowing them to set up royalties on their NFTs. Using royalties, a person can buy an NFT and resell it. Ownership is transferred to the new buyer, but the creator gets a commission every time it resells. In this way, NFT creators can continue being paid for their work.

Listing an NFT

To sell an NFT, find where it‘s located in your collection. Then open it and tap the “sell” button. Immediately, you’ll be redirected to the listing page, where you determine how you want the NFT listed and the sale terms.

Depending on your NFT marketplace, you might be charged a listing fee when listing an NFT for sale. To avoid failed transactions, you should ensure you have enough crypto to pay relevant fees to complete the process.

buying nfts

After funding your wallet, you can successfully buy NFTs and pay any transaction fees. Most NFT marketplaces list NFTs for sale in two ways: fixed-price and auction listing. Buying an NFT listed at a fixed price is an instant process, but bidding for one in an auction can take days before the auction closes.

There are two types of NFT auctions: a timed auction, which is a type of English auction, and the decreasing-price auction, also called a Dutch auction. The timed auction involves having an offer or submitting a bid and waiting to see if the seller approves your bid and sells to you. If you want to purchase a particular NFT, youll have to outbid the highest bidder.

The Dutch auction is more automated and involves the seller setting a start price, which decreases by a certain amount at regular intervals. For example, an NFT can be listed via Dutch auction with a start price of 10 ETH and set to decrease by 0.01 ETH every five minutes. Once a buyer bids at the current price, the auction closes, and the NFT is sold.

airdrops bit

nft scams

Rug-Pull Scams

A rug-pull refers to a scam where developers hype an NFT but pull out after receiving substantial funds from investors. These crooked developers often use social media to build trust and fanfare around their NFT while waiting for investor funds to pour in. Then, they shut down the entire project and vanish with the funds as soon as they have enough.

A classic case of an NFT rug-pull scam is the Frosties NFT rug-pull operated by a pair of 20-year-olds, Ethan Nguyen and Andre Llacuna. They touted their NFT with several promises, including exclusive mint passes, giveaways, and dibs on a metaverse game. However, they shut down their website and social media accounts after investors poured in over $1.3 million.

Phishing Scams

In general, hackers use phishing to access your NFT account details. To do this, they send out fake links, often through email or popular social media channels and forums like Twitter and Discord. Once you click the link and enter your details, hackers use keylogging or spyware to access your account and compromise it.

Unsurprisingly, NFT phishing scams are on the rise. For example, in February 2022, scammers made away with nearly $1.7 million worth of NFTs in a phishing attack targeted at OpenSea — the most popular NFT platform. OpenSea had asked users to update their contact details, but scammers copied the trading platforms email and sent NFT owners links to fraudulent websites.

Bidding Scams

Bidding scams often happen in the secondary market when you try to sell your NFT. When you put your NFT up for sale, scammers place the highest bid and youd naturally want to sell it to them. However, these scammers can change the cryptocurrency used for the bidding without your knowledge.

Imagine a fraudster bids 20 Ether for your NFT art. Youll be expecting to receive around $9,000 (per the going rate at the time of writing). However, a crafty scammer can switch out the crypto to 50 Dogecoin, which is worth less than $5.

To avoid such scams, always double-check which crypto youre being paid with and be sure not to accept anything less than the agreed-upon bidding offer.

Pump-and-Dump Schemes

In a pump-and-dump NFT scam, fraudsters artificially inflate the price of an NFT by misrepresentation and spreading misleading information. Once the price goes up, they “dump” the NFT and disappear without a trace, leaving investors with worthless assets.

Usually, fraudsters use social media and celebrity endorsements to build a frenzy around an NFT. In many cases, they pour money into the NFT, ramping up the price and having it difficult for investors to ignore.

Plagiarized NFTs

At the very core, NFTs are about creating unique digital tokens. Unfortunately, plagiarism runs rampant on many NFT platforms. Recently, OpenSea reported that over 80% of NFTs minted using its minting tool were fake. So the chances are high that you might be buying a stolen copy of a real-world artists work.

Unsurprisingly, your NFT‘s value will tank as soon as it becomes clear that it’s fake. That‘s why you should verify an NFT before having a purchase. Also, be sure to check the seller’s history and social media profiles to confirm if the art is original and belongs to them.

nft marketing

NFT marketing is a type of digital promotion of non-fungible tokens or services. In turn, NFTs are digital assets that are stored on the blockchain. These tokens can be anything, such as in-game items or art. NFTs can create rare and unique digital items that can be traded or exchanged with other users

free airdrops on trust wallet

Free airdrops are accessible on Trust Wallet if they meet certain criteria that allow users to receive the token for free from projects that promote their ICOs. Free tokens can be saved inside the app and traded against other currencies, such as Bitcoin and Ethereum.

How To Earn Free NFTs

Earn Free NFTs through Freecash.com

Freecash stands out as a rapidly expanding online platform for generating income from virtually anywhere globally. Functioning as a Get-Paid-To (GPT) site, it offers users the opportunity to engage in diverse activities such as survey completions, video viewing, or game playing to accrue Freecash coins.

After accumulating a substantial number of these coins, you can convert them into cryptocurrencies like Bitcoin or Ethereum, which in turn can be used to acquire NFTs across various platforms. The most straightforward method to leverage Freecash for obtaining NFTs involves withdrawing your earnings in crypto form and purchasing NFTs on marketplaces like OpenSea.

Participate in Play-to-Earn (P2E) NFT Games

P2E games remain a prominent method for earning free NFTs. By engaging in these blockchain-based games, players can acquire NFTs that hold real monetary value. The key is to choose games that also offer substantial rewards and maintain a vibrant trading community.

Engage in Social Media Giveaways

Platforms like Twitter, Discord, Reddit, and Telegram are hotspots for NFT giveaways. Many projects use these giveaways to build a community and attract attention. Stay active and participate in these communities to increase your chances of winning free NFTs.

Explore Airdrops Opportunities

Airdrops are a popular method for NFT projects to distribute free tokens. They often target existing NFT holders or active community members. While lucrative, its also crucial to be vigilant to avoid scams.

Breeding in NFT Games

NFT breeding is a notable feature of NFT technology, It involves creating new NFTs by merging two existing ones. Exemplified by the breeding of Axies in Axie Infinity, this process not only enhances in-game experiences but also extends across various platforms. Beneficial for both users and projects, it enables users to expand their NFT collection and potentially profit by selling or lending these new NFTs on marketplaces. Additionally, many NFT projects simplify the breeding process, providing platforms for users to easily find compatible NFTs for breeding purposes.

airdrop farming

Airdrop farming, a nuanced strategy within the cryptocurrency sphere, involves actively searching for and participating in airdrops to accumulate as many tokens as possible.

This method is not just about receiving free digital assets; it requires a proactive approach, including identifying new projects, completing specific tasks, and often managing multiple wallets. Each wallet interaction can potentially qualify for its own set of rewards, thereby multiplying the total tokens received.

cosmos airdrops

Cosmos Airdrops refer to the distribution of free tokens within the Cosmos ecosystem to holders of ATOM (the native cryptocurrency of Cosmos) or other related tokens. These airdrops are used to promote new projects within the Cosmos network and to reward existing token holders.

Ecosystem Promotion:Airdrops are often used to promote new projects within the Cosmos ecosystem.

Benefits: Helps new projects gain visibility and attract early adopters from the Cosmos community.

Rewarding Token Holders: Existing holders of ATOM or other related tokens are rewarded with new tokens.

Benefits: Incentivizes holding and supporting the Cosmos network.

Decentralized Distribution:Tokens are distributed in a decentralized manner to eligible wallet addresses.

Benefits: Ensures fair and broad distribution across the community.