NFT Trader Rakes in $11M in Blur Airdrop; Mixed Sentiments Surface

In the recent airdrop orchestrated by the NFT marketplace Blur, a pseudonymous trader operating under the Ethereum Name Service (ENS) alias “hanwe.eth” seized a substantial windfall, claiming an impressive 22,851,000 Blur (BLUR) tokens. As per Dune analytics data, this haul currently commands a valuation of approximately $11.2 million, highlighting the potential profitability of airdrop reward distributions in the dynamic world of Non-Fungible Tokens (NFTs).

For those less familiar, NFTs are unique digital assets authenticated through blockchain technology, often representing digital or physical items like art, music, or collectibles. Each NFT carries a distinct identifier, making it distinguishable and verifiable on the blockchain. The Blur airdrop exemplifies one of the strategies employed within the NFT space to incentivize user engagement.

An airdrop, in the context of cryptocurrency and blockchain projects, refers to the distribution of free tokens to a specific group of addresses. These distributions can serve various purposes, including community building, marketing, or rewarding active users. 

In the case of Blur, the end-of-season airdrop is a tactic to entice traders into using the platform. The distribution size is often determined by factors such as users’ trading activities and engagement within the NFT trading ecosystem.

Blur’s recent airdrop was notably robust, with a total reward pool of 300 million tokens, translating to a significant $146 million at current BLUR prices. While around 38,000 addresses have claimed their rewards, not all recipients share the same sentiment. 

Renowned NFT whale Jeffrey Hwang, known as Machi Big Brother, voiced dissatisfaction after receiving 6 million tokens valued at approximately $2.9 million.

Hwang’s involvement sparked discussions, especially considering his substantial NFT dump where he sold 1,010 NFTs in 48 hours. Some speculate this move as a strategic maneuver to maximize profits through the Blur airdrop, as Hwang swiftly repurchased 991 of the NFTs.

Blur’s ascendancy in daily Ether trading volume, surpassing even OpenSea, showcases the intense competition in the NFT landscape. OpenSea responded by implementing a 0% fee structure on Feb. 18, aiming to reclaim its user base from the emerging Blur platform. As NFT strategies and dynamics continue to evolve, airdrops remain a pivotal component in shaping user engagement and competitive landscapes.

The broader non-fungible tokens (NFTs) sector saw a massive boom in 2021, the same time around the cryptocurrency market’s last bull run. The hype of digital art pieces was unprecedented and the highs were unmatched. NFT collections were worth millions of dollars and many single NFTs were sold and bought for massive prices.

However, the charm did not continue and the NFT space’s valuation sank even faster than the cryptocurrency market entered the bearish phase during the crypto winter. Many NFT collections with millions of dollars worth were valued at dirt cheap prices. About 95% of the existing NFTs lost their value to a large extent. 

With a background in journalism, Ritika Sharma has worked with many reputed media firms focusing on general news such as politics and crime. She joined The Coin Republic as a reporter for crypto, and found a great passion for cryptocurrency, Web3, NFTs and other digital assets. She spends a lot of time researching and delving deeper into these concepts around the clock, and is a strong advocate for women in STEM.