Airdrop (cryptocurrency)
Unsolicited token or coin distribution
From Wikipedia, the free encyclopedia
An airdrop is an unsolicited distribution of a cryptocurrency token or coin, usually for free, to numerous wallet addresses. Airdrops are associated with the launch of a new cryptocurrency or a DeFi protocol, as a way of gaining attention and new followers.[1][2]
Airdrops aim to take advantage of the network effect by engaging existing holders of a particular blockchain-based currency, such as Bitcoin or Ethereum, in their currency or project.[3]
In the United States, the practice has raised policy issues about tax liability and whether they amount to income or capital gains.[4]
