An airdrop is a distribution of a cryptocurrency token or coin, usually for free, to a large number of wallet addresses. Airdrops are primarily implemented as a way of gaining attention and new followers, resulting in a larger user-base and a wider disbursement of coins. In most cases, the airdropped tokens are already fully or partially developed, and are just being promoted.
There are a few different ways to go about conducting an airdrop. The most common method is to give away a certain number of tokens for free to each wallet that holds a certain amount of a specified token or coin. For example, a company conducting an airdrop may require each participant to have at least 1 ETH in their wallet, and will give away 1,000 of their new tokens for each ETH held.
Airdrops can also be done through more interactive methods, such as social media campaigns, games, or quizzes. These methods are usually used in combination with other methods, such as the first example.
Companies will often airdrop their tokens to individuals who are already interested in cryptocurrencies or who are known to be active in the crypto community. This is done in order to gain more exposure for the project and to build up a user-base more quickly.
There are a few things to be aware of when participating in an airdrop. First, make sure that you are dealing with a reputable source. There have been a few scams in the past where individuals have lost their cryptocurrencies or personal information. Second, be aware of the terms and conditions of the airdrop. Some airdrops may require you to hold the tokens for a certain period of time before you are able to sell them, or there may be other restrictions.