How Cryptocurrency Airdrops Could Have Brought $2.64B to US Investors

by Giorgi Kostiuk

2 years ago

From 2020 to 2024, many US cryptocurrency users were excluded from participating in significant airdrops due to strict regulations. This led to significant economic losses for both investors and the state.

Airdrops: Missed Opportunities

Between 2020 and 2024, at least 11 major airdrops distributed $7.16 billion to 1.9 million claimants globally. Because of US regulations, many users were excluded from this opportunity, resulting in potential lost earnings between $1.84 billion and $2.64 billion.

Government Tax Revenue Losses

While hundreds of thousands of investors missed out on earnings, the federal government lost between $525 million and $1.38 billion in potential taxes. These figures do not account for additional capital gains taxes that could have been garnered when tokens were eventually sold.

Over the past decade, the federal government sold approximately 195,000 bitcoin for proceeds of $366 million. If the government had held the bitcoin, it would be worth over $17 billion today. That’s how much it has cost American taxpayers not to have a long-term strategy.David Sacks

Broader Context of Crypto Regulation

With increasing pressure from regulators, many crypto projects have ceased offering airdrop opportunities to US citizens. This phenomenon is part of the broader context of complex relations between the cryptocurrency industry and the state, illustrating missed economic opportunities.

Potential earnings from airdrops have been inaccessible to American investors due to strict regulations. Losses have impacted both individuals and the government budget, highlighting the need to adapt and rethink approaches to cryptocurrency regulation in the US.

Tier I

Sector: #18291

Sealed Hiding Place Room

Resource Cache

Tier I

Requires 25% Tier Progress to Claim

Meme Cache

Tier I

Requires 50% Tier Progress to Claim

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, hiding places will be stored in your inventory and can be opened with Keys.

Tier I

Sector: #18291

25%

50%

75%

100%

Tier II

Survivors rescued:

0 / 600

Survivors

0/0

Transmit Signal

Broadcast this sector's coordinates to other rescuers.

Other news

Banks Counter Stablecoin Growth with Higher Deposit Rates

A new working paper reveals that banks can slow the growth of stablecoins by increasing deposit rates.

Luis Flores15 minutes ago

Polygon Labs Completes Acquisition of Coinme

Polygon Labs has finalized its acquisition of Coinme, enhancing its payment capabilities with numerous state licenses.

Arif Mukhtaran hour ago

Bitcoin Open Interest Sees Slight Decline While Funding Rates Remain Positive

A recent snapshot of the Bitcoin derivatives market revealed that open interest has decreased by 0.69% over the past 24 hours, now standing at 768 billion. Despite this decline, the funding rate remains positive at 0.00035 per eight-hour interval, suggesting that long positions are still willing to pay shorts on perpetual contracts.