I talk stock all day and every day, so let me switch to something a little more spicy… Something the talking heads can’t shut up about…
And guess what? I understand why!
Today, I’m talking crypto!
And I’m not going to offer my own two cents on where the market is headed or what to buy & sell – Seems everyone and their mother is out there pelting innocent people their BS crypto opinion these days.
No, instead, I want to discuss something of practical use – the latest, the biggest and by far the hottest theme in the crypto markets today – and that is Airdrops!
Let’s cover the basics and then dive right into why you MUST be on top of Airdrops if you have any interest in the crypto world.
Crypto Airdrops
In this letter, I want to focus on ways you can capitalize on crypto airdrops, so I won’t spend much time talking about the basics.
If you’re interested to learn what airdrops are in greater detail, check out THIS recent article by our Chief Crypto Officer – Jake McCarthy.
But in short – airdrops are quite literally crypto giveaways!
They are periodic distributions of tokens X to current holders of other tokens, let’s say tokens Y!
Imagine if Moderna (MRNA) said they’ll give each shareholder of Pfizer (PFE) one share of MRNA? This is exactly what happens in the crypto world.
No joke and no mistake – you literally get other crypto tokens at no cost to you, deposited right into your crypto wallet!
What’s the point and why such generosity, you may ask?
The answer is simple – it’s a crypto way of doing marketing!
There are a lot of Crypto projects these days… and their developers all crave mass exposure and more widespread interest in / adoption of their idea.
Airdrops are their way of letting the world know they exist.
Think of the old days when stores in your area would put discount coupons in your mailbox luring you to come to check them out.
Well, airdrops are those exact coupons but in the crypto world – they’re meant to draw your attention to the project and its ecosystem.
So, yes, airdrops have been really big lately! And here are 2 real reasons you ought to keep an eye on them…
Free Tokens
Well, this one was simple, right? You get stuff for free!
Needless to say, most likely you won’t get much.
Most airdrops you’ll get will be really small, although there are cases when people have gotten considerable amounts of new tokens. And while it lasts – there’s no reason to shy away from free money.
But there’s a bigger reason and a much more important one from the trading standpoint…
Airdrops May Give You a Trading Advantage
As I mentioned above, to get an airdrop of Token Y, you have to be a holder of Token X.
People are greedy for free Tokens Y. But to get them, they have to own Tokens X.
So what do they do, when they hear an announcement of Tokens Y giveaway? They rush to buy the coins that will make them eligible for the giveaway! Token X, in our example.
And here’s a really simple question – what happens to the price of an asset when a big crowd is throwing money in, all at the same time?
You’ve nailed it – the price goes up, oftentimes it truly EXPLODES higher.
You see where I’m going with this, right?
By keeping close track of actual and potential airdrops, you can get an insight into which tokens will get aggressively bought up in the near future.
Having that knowledge can give you a massive advantage in the market!
And now that I’ve given you an Airdrop crash course there is one thing left to do….
See our Chief Crypto Officer Jake McCarthy has a lot to share with us on the wild world of crypto and I’m going to give you not 1 but 2 ways to learn more.
First for those who want to read more about the crypto-verse can CLICK HERE.
Second Jake McCarthy does a lot more than penning his HOT crypto weekly watch list and hooking us up with crypto information that you would be hard-pressed to find anywhere else.
Jake showers us with his crypto knowledge multiple times a week and if you want in on this sight to behold you can add his calendar to your schedule right here.
