What is airdrop on crypto?

An airdrop in the context of cryptocurrency is a marketing strategy used by blockchain projects to distribute free tokens or coins directly to the digital wallets of their community members. This is often done to promote awareness of a new token or coin and to encourage more people to trade it when it lists on an exchange as part of an initial coin offering (ICO).

To qualify for an airdrop, recipients may need to hold a minimum quantity of crypto coins in their wallet, or they may need to perform a certain task, such as posting about the currency on social media or writing a blog post. Airdrops can also be based on those who express interest, hold existing tokens, are intentionally selected, or win raffles.

While airdrops can be a way to receive free tokens, it’s important to be cautious as some may be fraudulent and attempt to steal wallet or personal information. Always ensure you’re participating in legitimate airdrops from reputable sources.