Steemit Crypto Academy Contest / S12W01 - Understanding Cryptocurrency Airdrops .

It is an honor and privilege to participate in season 12 week 1 steemit engagement challenge, Although this may be my first or second time of participating in any contest organised in this community. So I will like to discuss on the above topic which say understanding cryptocurrency airdrops.

Many project developers began to venture into crypto airdrops in order to create awareness and distribute token to the participants wallets. Crypto airdrops started in 2014 and became popular in 2017 for the purpose to create market strategies.

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Define what is crypto airdrop?

Crypto airdrops can be defined as the market strategies where users are allows to earn free token by perform some certain tasks. Many traders have make a lot of money from airdrops through their self less service in promoting such particular brand.

Additionally, not all developers demand certain action before distributing crypto to the users wallet while others may insist that participants need to complete some certain task before claiming their reward.

Give the different types of crypto airdrops

We different types of crypto airdrops but the most common types include the following:

Bounty Crypto airdrops
Exclusive Crypto Airdrops
Standard Crypto Airdrops and
Holder Crypto Airdrops

• Bounty Crypto Airdrops: This is a method of receiving airdrops where participants or traders are expected to complete some certain tasks in order to receive free token to their wallet. These tasks include liking, sharing post on social media to create awareness and retweeting etc.

Exclusive Crypto Airdrops: In exclusive airdrops users where invited by the project team for their effort in contributing to the community project.

Standard Crypto Airdrops: This is a process where participants use to create awareness so that others can be aware or inform about a particular project, at the end of the day certain amount of crypto can be transfer to the traders wallet.

Holder Crypto Airdrops are the participants who hold certain amount of crypto in their wallet, at the final launching of the airdrops project developers would now require for project snapshot so that users can claim their reward.

Have STEEM token ever been claim as a crypto airdrop?

Steem token has been distributed as a crypto airdrop before, this happened about 5 years ago, This crypto airdrop where given to the community members has a reward for promoting steemit or community from growing higher. This process of airdrops is bounty airdrop because others often claim reward through referral method.

How to identify if a crypto airdrop is legit or scam. How can we also fine free crypto airdrops

Traders must follows these tips in order to avoid been scam by the fraudster.

• Participants should never share their private keys to anyone even if the person promise to give you certain amount of token. Some scammers used to drop fake token in the users wallet, the moment users want to transfers such token he or she will realize that such token is untransferable.

• Research is one of the basic things that are expected from crypto airdrops users must find out if such airdrops is legit or not. Conduct full research about the project including their project team before embarking on the project.

• Phishing website is also one of the common way use by the scammers, scammers would create fake website that will look like original website once you click on it or share your phrase seed your token is gone automatically. Users must be aware not to interact with their wallet whenever they see new token in their wallet.

There are some website that update traders about the latest airdrops that's available. Each of these website have social media account such as Facebook, Telegram and Twitter handle where participants will be inform about new airdrops. Free crypto airdrops can be find in the best following website

	Airdrops.io

	Airdrop alert

How are crypto airdrop taxed ?

In crypto airdrops tax are considered as the income receive from new coins, tax are remove immediately once you receive new token in your wallet.

Different countries have their own way of collecting tax based on the airdrops users receive. Countries like Germany and Canada do not collect tax from the crypto airdrops they considered it as free while others countries like USA, Australia and United kingdom collect tax on airdrops because they view it as income tax.

Have you ever claim a crypto airdrop before? Which coin was that?. If you haven't claim an airdrop before then explain how one can claim a crypto airdrop

Most of everything I known about blockchain is through steemit, I have not claim airdrop before but I came across in Tron fan club community where author explained how we can claim free crypto through airdrop.

Since that day I have been searching for a website where I could find legit airdrop, fortunately I visited I airdrop.io where I seen this particular airdrop I am about to discuss it step by step.

Ambient is a new crypto airdrop that about to launch in the nearest future.

Step 1: after log in to their website, traders should click on the connect in order to connect users ethereum
wallet address then another home page will appear.

Step 2: After you have successfully connect your ethereum wallet on the available wallet, such as brave,metamask wallet etc. But right now all the wallet is unavailable because it is new airdrops. I just show step by step guide in which users can follow to claim their token.

They will launch the airdrop on their platforn very soon and participants can follow them on social media to know when the launch will start.

Advantages and disadvantages of crypto airdrops

ADVANTAGE

• Airdrops are a great initiative that increased users participation to have full access to a new crypto without investing their money.

• It create awareness by informed traders about new airdrops that will launch in the nearest future.

• It also help to increasing trading volume in any exchange platform such as binance, kucoin, coinbase etc.

DISADVANTAGE

• Airdrops allows scammers to have full access to our wallet or account through fake social media account they operate.

• Some participants are only interested in the money instead for them to contribute to the success of the project.

Crypto airdrops as a lot of benefits in the crypto ecosystem because it contribute to the growth of blockchain and also create new coins for investors who are willing to invest their capital to the project. I will like to invite @goodybest, @solaymann, @malikusman1 and @radleking to join me.

Best regards
@akareen