The Biggest And Most Anticipated Airdrop In Crypto History Is Live!
The date is finally set! Arbitrum will airdrop 1.162 billion $ARB tokens to eligible users on Thursday, March 23rd!
In my post where I covered the top 10 unreleased tokens with 50–200x potential, I talked about Arbitrum and I said I’ll keep you posted on future developments.
So today, we’ll go over the details of the Arbitrum airdrop, $ARB tokenomics and price prediction, as well as what the airdrop means for Arbitrum and the global crypto space.
Airdrop details
One of the biggest and most highly awaited airdrops in the history of crypto is finally taking place next week.
The Arbitrum foundation announced the launch of its $ARB token in a cinematic tweet on March 16th.
One of the most popular Ethereum scaling solutions, Arbitrum is a technology aiming to speed up transaction times and lower fees on Ethereum.
With Arbitrum being the only major blockchain without a native token, the speculations surrounding an airdrop have been flying high for months.
Eligible members of the Arbitrum community will be able to claim their tokens on March 23rd. The snapshot was taken on February 6th.
Users are eligible for the airdrop if they performed any of the following tasks before the snapshot: Bridged funds into Arbitrum One or Arbitrum Nova, conducted transactions, or provided liquidity.
Of course, the more you’ve interacted with the protocol and the longer, the more tokens you will receive.
You can read more about airdrop criteria on Arbitrum’s official documentation and you can check your airdrop eligibility here. Remember to check all your wallets in case you’ve been interacting with Arbitrum from different addresses.
$ARB tokenomics & price prediction
The supply cap of $ARB will be 10 billion tokens with the following distribution: DAO treasury: 42.78%, Team and future advisors: 26.94%, Investors: 17.53%, Individual wallets (airdrop): 11.62%, DAOs in Arbitrum ecosystem: 1.13%.
Essentially this means that the community will control 56% of the tokens, while 44% will go to investors and the team of Offchain Labs that built the project.
The airdropped tokens will be available on March 23rd. All investor and team tokens, however, will be subject to a 4-year lockup, with the first unlocks happening in one year, followed by monthly unlocks during the remaining three years.
We don’t know exactly how much $ARB will be worth upon launch. The best we can do is compare it to a similar airdrop that took place last year on Optimism. $OP token was worth just over 1 dollar at launch.
However, according to this Dune dashboard, the Arbitrum ecosystem is significantly larger in terms of adoption compared to Optimism. It also has more funds locked into its protocol, over $1.7 billion, whereas Optimism has around $900 million.
This could mean a higher valuation for Arbitrum.
Numerous price speculations and calculations are circulating on Twitter, but they’re only that — speculations. If we are to rely on them, the initial $ARB price could sit anywhere between 1 and 2 dollars which would result in the initial market cap between 1 and 2 billion dollars.
What the airdrop means for Arbitrum and the crypto space
By launching its token, Arbitrum is transitioning to a DAO or a Decentralized Autonomous Organization.
$ARB will be an ERC-20 governance token to the Arbitrum One rollup chain. This means $ARB holders will be able to vote on key decisions governing the two Arbitrum networks - Arbitrum One and Arbitrum Nova.
Although the team and investors will retain 44% of all tokens, according to the Arbitrum foundation “Arbitrum DAO will have the power to control key decisions at the core protocol level, from how the chain’s technology is upgraded to how the revenue from the chain can be used to support the ecosystem”.
With the airdrop, Arbitrum is injecting a lot of liquidity into its ecosystem and the global crypto space.
The initial primary beneficiaries will be dApps running on Arbitrum, and their native tokens, such as Radiant Capital (RDNT), Vela Exchange (VELA), and Camelot (GRAIL) with some of them already rallying today.
But such a huge airdrop is also good news for the entire crypto market, simply because it gives users more money to invest.
Final thoughts
The highly anticipated Arbitrum airdrop is finally just around the corner. Whether you’re eligible or not, you can profit from the launch.
When $ARB hits the markets, it will likely quickly be listed by many major exchanges. However, don’t get caught up in the hype.
Remember that Arbitrum users will receive between 1 and 2 billion dollars worth of tokens. Many of them will sell them as fast as possible to secure their profits. This means that in the first few days and weeks, the price is likely to plummet.
Just look at what Optimism price did at launch. It crashed down to 40 cents in the first weeks post-listing where it found its bottom. It wasn’t until about a month later that $OP started climbing toward 2 dollars.
Of course, the initial price behavior of $ARB will also depend on the mood of Bitcoin and the global crypto market sentiment.
PS: Don’t fall for scams! There is no $ARB presale. The airdrop is happening on March 23rd on Arbitrum’s official website (always triple-check the spelling in the URL before connecting your wallet). The official Arbitrum Twitter account has over 570,000 followers. If you can’t post replies, you’re on a fake Twitter account. Never share your seed phrase!
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Disclaimer: This content is for educational purposes only and should not be considered as financial or any other advice. Always do your own due diligence before investing your hard-earned money.
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