Will Blast Airdrop Boom or Bust? Expert Gives Blast Airdrop Prediction (The Answer Might Surprise You)

In the latest move in the meme coin market frenzy, the highly anticipated BLAST airdrop starts today, but will this new airdrop boom or bust?

If Ethereum happens to hard fork today and a new network is created, every ETH holder will receive an extra token.

The more ETH they possess, the more they receive the new tokens. This is one free way of receiving tokens.

Another is when a crypto platform chooses to “airdrop” tokens to users. Often, their goal is to reward participation and activity.

Blast Airdrop: Here’s What You Should Know

Today, Blast, an Ethereum layer-2 platform, will be airdropping 17% of its total supply to early adopters.

The decision, as expected, has drawn experts into the discussion, with most examining whether BLAST will soar or bust, aligning with the current state of affairs.

Before diving deeper, let’s look at the details of this BLAST airdrop.

First, the platform has announced that users who bridged funds ETH, wETH, or USDB–their native stablecoin, will receive 7% of the total supply of 100 billion.

Additionally, developers who actively contribute to the Blast dApp ecosystem will get a 7% share.

The top 1,000 wallets, ranked by points, will not receive all their tokens today.

Instead, Blast will vest them linearly for over six months. Discouraging as it may seem, the objective is to prevent immediate large-scale selling and incentivize HODLing.

Looking deeper at the BLAST tokenomics, the Blur Foundation, which is the team behind Blast, will receive 3% of the total supply.

These will be used to fund future community airdrops.

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Will BLAST Airdrop Dump or Rally?

While most large-scale airdrops might seem like a guaranteed jackpot, thorough research suggests otherwise.

Often, there is a disconnect between the airdrop amount and performance in the secondary markets like Binance or Uniswap, which they list on.

A Coingecko research notes that airdropped tokens only rise briefly in the first two weeks before plummeting as interest wanes.

What’s important to note when distributing tokens is who are the recipients.

If users receive large chunks at a go, they will likely sell the token immediately. The result? Rapid price drops and heightened volatility.

However, if the same is funneled to the team or project believers, the odds of token prices rising will be high since they care more about the project and not immediate gains. Usually, these users might hold or even choose to buy even more tokens, stabilizing prices and lowering volatility.

Looking at Blast’s airdrop strategy, it seems like their approach is to reward early adopters (the core users) and a portion to the team. At the same time, they will vest tokens sent to other users. Accordingly, though tokens will be distributed, only a bit might hit exchanges.

Nonetheless, crypto is dynamic, and no one knows how prices will perform. Even though the goal of the airdrop is to ensure price stability and low volatility, other market events, like the current Bitcoin weakness, could influence prices.

Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.