Task-Specific Airdrop Difficulty, Advantages and Disadvantages Explained!

Table of Contents

Airdrop Task Difficulty and Merit Explained Simply

Overview

Many unfamiliar words such as "staking," "swap," and "testnet" are flying around, and you might not know what you can do! This article will solve that problem!

There are various types of airdrop tasks, and there is no single correct answer. Some airdrops require transactions (transfers or trades) once a month for six months, while others require solving difficult problems, reporting bugs, or even just logging in.

This article explains what actions each task we categorize mainly represents, and what kind of tasks you should perform with how much capital.

Explanation of Evaluation Items
-Difficulty: Difficulty ☆☆☆ indicates that it is suitable for those who can easily perform bridges and swaps between blockchains.
-Required Funds: Required funds ☆☆☆ represents a cryptocurrency amount of 1 million, and one star means a change by one digit.
-Task Required Time: Required time means how long it takes to work on the task.

1. Bridge

A mechanism that allows you to exchange crypto assets between different blockchains. For example, it is used when transferring Bitcoin to the Ethereum network or moving assets across chains. Representative project: Wormhole

Difficulty: ☆☆☆
Required Funds: ☆
Task Required Time: ☆

Bridging involves issuing transactions of asset transfers between chains using protocols for moving assets across each chain. Therefore, you can work on it without being bound by time or funds. Also, depending on the destination chain of the bridge, there is a possibility of receiving two airdrops: one from the protocol and one from the chain. The task itself is simply swapping, so it can be completed easily, but some projects have conditions such as once a month for six months.

Merits: Almost no fund lockup
Demerits: Often uncertain whether you will receive it or not. Requires long-term commitment

2. Farming

A method of earning rewards by depositing crypto assets into a specific pool. This is similar to "interest-bearing investment," but it carries risks in proportion to the high rate of return. Used as part of DeFi (Decentralized Finance). It is also used as a general term for the act of depositing assets for the purpose of earning interest. Representative project: Uniswap

Difficulty: ☆☆☆
Required Funds: ☆ ~ ☆☆☆☆☆
Task Required Time: ☆

In farming, there is a concern that the distribution amount will decrease if many other people are also depositing assets. Some projects give preferential treatment to those who deposited earlier, or the rewards are multiplied by additional tasks. Also, the reward amount often varies depending on the deposit amount.

Merits: Automatically received just by depositing
Demerits: May depend on the amount of funds. Needs to be deposited.

3. Lending

A mechanism for lending crypto assets to others and receiving interest. Similar to bank loans, but transactions are carried out without intermediaries using blockchain technology. Representative project: AAVE

Difficulty: ☆☆☆
Required Funds: ☆ ~ ☆☆☆☆☆
Task Required Time: ☆

In lending, the lending interest rate is determined for each deposit currency and protocol, so choosing the right protocol and currency is important. Also, since the interest rate depends on market conditions, the reward may be less than expected. Tokens and points are allocated as rewards other than interest, but care should be taken as the interest rate may include these.

Merits: Automatically received just by depositing
Demerits: May depend on the amount of funds. Needs to be deposited.

4. Liquidity Provision

The act of depositing crypto assets to facilitate transactions on decentralized exchanges (DEXs). You can receive a portion of the transaction fees as a reward. However, there is a price fluctuation risk (impermanent loss). Representative project: Uniswap

Difficulty: ☆☆
Required Funds: ☆
Task Required Time: ☆

Liquidity provision allows you to choose whether to deposit in trading pairs or just one asset. Depositing in stable currency pairs like USDC/USDT reduces asset risk, but allocations are often low. Also, if you deposit a pair of volatile currencies, you may suffer losses due to impermanent loss.

Merits: Fee distribution varies depending on the currency pair, so you can earn large fees. (Example: $TRUMP)
Demerits: There is a possibility of large losses due to impermanent loss. Needs to be deposited.

5. Social Activity

Part of tasks designed to increase project awareness and revitalize the community. Mainly includes retweeting on Twitter, actively participating in discussions on Discord or Telegram, participating in events, and registering on websites. Representative project: CandyDrops

Difficulty: ☆
Required Funds: Almost zero
Task Required Time: ☆ ~ ☆☆☆☆☆

Social activity is the easiest way to earn airdrops among these. You can participate in campaigns like CandyDrops with RTs, likes, etc., or by participating in AMA events, poker events, etc. in communities like Discord. Also, those who make valuable contributions or contribute long-term in the community may receive special rewards, which can take a long time.

Merits: Mostly risk-free and often costs nothing
Demerits: Requires monitoring X and active participation in the community. High possibility of not receiving anything

6. Staking

A mechanism for receiving rewards by depositing crypto assets into a blockchain network. The deposited assets are used for network operation and security enhancement. It is similar to a "fixed deposit" at a bank, but there are also risks. Representative projects: Ethereum, Solana, Eigenlayer

Difficulty: ☆☆☆
Required Funds: ☆ ~ ☆☆☆☆☆
Task Required Time: ☆

In staking, the act of depositing assets is mainly regarded as a contribution to the network, so there is a possibility of earning airdrops just by staking. Stable income can be obtained by selecting the deposit validator and protocol.

Merits: High possibility of receiving airdrops in addition to earning stable income
Demerits: The mechanism and procedure can be a little complicated in some cases. Difficult to select due to various staking methods

7. Swap

Exchanging one crypto asset for another. For example, it refers to changing Ethereum (ETH) to USDT. Many services offer mechanisms that make this easy. Representative project: Uniswap

Difficulty: ☆☆☆
Required Funds: ☆ ~ ☆☆☆
Task Required Time: ☆

Swapping itself is considered a contribution using the protocol, and there is a possibility of receiving an airdrop. In that case, the length of time and amount swapped are often more important conditions than the amount of assets.

Merits: Tends not to depend much on the amount of funds or time spent. Easy to participate in due to only temporary swapping fees and currency fluctuation risks.
Demerits: Protocol conditions are often unclear, and there is a possibility of not receiving anything despite efforts.

8. Testnet

An experimental network for testing new technologies and projects. It works on the same mechanism as the production environment (mainnet), but it uses worthless virtual currency, so there is no risk. Representative project: SunriseLayer etc.

Difficulty: ☆☆☆☆
Required Funds: ☆
Task Required Time: ☆

In testnet, there is a possibility of earning airdrops by contributing through issuing transactions, staking, receiving from Faucet, etc. on the testnet before migrating to the mainnet. The actual actions are not much different from the mainnet, but the difficulty is ☆☆☆☆ considering the possibility of troubles such as adding networks and the protocol itself being unstable.

Merits: Mostly free. Easy to learn the basic operations of crypto assets as you acquire virtual assets for free and operate them on the network.
Demerits: There is a high possibility of not receiving airdrops.

9. Trading

Buying and selling crypto assets to make a profit. There are "day trading," which aims for short-term price fluctuations, and "swing trading," which aims for long-term holding. Representative project: HyperLiquid

Difficulty: ☆☆
Required Funds: ☆ ~ ☆☆☆☆☆
Task Required Time: ☆ ~ ☆☆☆

Trading mainly involves earning points by conducting stock or FX trading as generally imagined. If you want to minimize asset fluctuation risk as much as possible, there is also a way to earn airdrops by covering only the fees. There are concerns such as network delays, temporary price fluctuations, and whether you can get airdrop rewards commensurate with the fees, but it is one of the easiest and most accessible options.

Merits: Those who can trade can double-dip by earning points in addition to trading profits and losses. Easy to understand as it is basically a form of receiving point rebates for buying and selling.
Demerits: There is asset fluctuation risk. Airdrop rewards may be lower than fees.

10. Transaction Issuance

The operation of sending crypto assets or executing smart contracts on the blockchain. For example, if person A sends Bitcoin to person B, the record is a "transaction." Representative project: Optimism

Difficulty: ☆
Required Funds: ☆
Task Required Time: ☆

Transaction issuance includes all basic crypto asset transfers, token issuance, swaps, and bridges. In this case, "whether you have touched the chain/protocol" is important, so it tends not to depend much on the amount of funds. Some projects have conditions such as once a month for six months. You may also receive an airdrop by sending funds once to a new chain.

Merits: Easy and understandable as transferring from an exchange to a wallet is also a transaction issuance. Easy to receive as you can get it just by touching the chain and moving or trading assets, sometimes unconsciously.
Demerits: It can be difficult to choose which chain, which project, and what to do.

11. Validator Node

A validator node is a computer that plays an important role in confirming transactions and adding new data on the blockchain. It is particularly active in the Proof of Stake (PoS) mechanism and earns rewards according to the amount of staked crypto assets. Even beginners can participate indirectly by using staking services without operating directly.

Difficulty: ☆☆☆☆☆☆☆
Required Funds: ☆ ~ ☆☆☆☆☆
Task Required Time: ☆☆☆

Building a validator node requires engineering knowledge, making it the most difficult task among these. Also, server costs and regular maintenance are required, which necessitates acquiring specialized knowledge. There are also services for those who want to build validator nodes, so you can build one without knowledge by using these services.

Merits: There are cases where you can get a large airdrop allocation in addition to earning stable income.
Demerits: Difficult due to the need for specialized knowledge.
(The author tried to build several but gave up on some due to lack of specialized knowledge)

Beginners should start here!

  1. Social Activity
  2. Transaction Issuance
  3. Swap

1. Social Activity

You may be able to earn airdrops through simple activities such as retweeting on social media or joining Discord groups. It is especially ideal for first-time tasks as it is easy to participate.
Recommended Points: Costs nothing, can be done in a short time
Points to Note: Airdrops may not be confirmed after completing the task.

2. Transaction Issuance

You can meet the conditions by simply creating a wallet and sending crypto assets from an exchange. Just touching a specific chain can make you eligible for airdrops.
Recommended Points: Learn basic crypto asset operations, relatively easy to understand
Points to Note: Need to check which projects meet the conditions.

3. Swap

You can meet the conditions by exchanging crypto assets for other assets. It finishes in a short time and is an easy task for beginners to participate in.
Recommended Points: Simple and easy to start, can be completed in a short time
Points to Note: Swap fees may apply.

Advice for Beginners

Start with simple tasks such as "Social Activity" and "Transaction Issuance" to get used to basic crypto asset operations. After that, try slightly more advanced tasks such as "Testnet" and "Swap" to broaden the possibilities of efficiently earning airdrops. Try stepping up little by little while minimizing risks!

Summary

Airdrop tasks range from simple ones for beginners to those requiring advanced specialized knowledge. Each task has its own difficulty, funding requirements, merits, and demerits. By choosing tasks that suit your skills, resources, and goals, you can participate in the world of airdrops efficiently and enjoyably. We recommend starting with tasks that are easy to start and gradually gaining experience!

Disclaimer

  • This article is created for informational purposes only and should not be used to solicit the sale, purchase, or underwriting of cryptocurrencies, securities, or other financial products, nor should it be considered an invitation to engage in such transactions, or constitute financial or investment advice.
  • The information and opinions in this article are obtained from sources that we believe to be reliable, but we do not guarantee their accuracy, completeness, suitability, timeliness, or truthfulness.
  • We, the authors, and all related parties are not responsible for any damage or loss caused by or related to the information published in this article. Cryptocurrencies involve hacking and other risks, so please conduct thorough research before using them.
Find articles of the same task type
Find articles in the same category
Find articles for the same chain