• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

The Controversial EigenLayer Airdrop: A Look at the Rise and Fall of Crypto Points Systems

user avatar

by Giorgi Kostiuk

2 years ago


The crypto community has been buzzing about EigenLayer's upcoming airdrop, which has sparked some controversy despite the significant amount of crypto deposits the platform has attracted within its first year. EigenLayer, an Ethereum-based restaking platform, has faced criticism for launching with limited features despite the high volume of deposits.

The main point of contention surrounds EigenLayer's distribution of EIGEN tokens using a points system. Initially, users were rewarded with points, which were not actual tokens but were supposed to convert into EIGEN tokens eventually. However, this model has faced backlash now that details of the airdrop have been disclosed.

One major issue is that when EIGEN tokens are first distributed, they will not be transferable, and there is no clear timeline for when this functionality will be enabled. This has disappointed many depositors who expected immediate liquidity based on the points system that was in place.

Another concern is that the airdrop excludes users from certain regions, such as the U.S., Canada, and China, despite allowing them to earn points initially. This inconsistency has frustrated many in the community who feel that if certain regions are excluded, they should not have been able to participate in the first place.

Additionally, the airdrop distribution will take place in "seasons," leaving some users uncertain about when they will receive tokens and how many they will get. This lack of clarity has led to criticism from various stakeholders, including users on third-party platforms that contributed significantly to EigenLayer's growth.

Although EigenLayer has made efforts to amend its plans in response to the backlash, the damage may already be done. This situation highlights the risks associated with using points systems in crypto projects, as they can create false expectations and uncertainty among users and investors.

Given these challenges, there is a growing skepticism surrounding the future of points-based incentives in the crypto industry. What was once considered an innovative way to drive participation may now be facing a decline in trust and popularity.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

LiquidChain Aims to Solve Liquidity Fragmentation in Crypto

chest

LiquidChain is positioning itself as a Layer 3 infrastructure to address liquidity fragmentation in the crypto market.

user avatarFilippo Romano

LiquidChain Launches Innovative Crosschain Liquidity Layer

chest

LiquidChain, a Layer 3 infrastructure provider, is launching a new protocol designed to enhance crosschain liquidity and improve capital efficiency in transactions between Bitcoin, Ethereum, and Solana.

user avatarEmily Carter

Farcaster Founders Launch Tempo for Global Stablecoin Payments

chest

Dan Romero and Varun Srinivasan, the founders of Farcaster, have launched Tempo, a platform aimed at enhancing global stablecoin payment systems.

user avatarTomas Novak

Gold Price Faces Critical Test at 5100

chest

Gold is currently testing a crucial price level of 5100, with signs of consolidation and potential drops affecting its momentum.

user avatarKaterina Papadopoulou

SUBBD Token Presale Raises $147 Million Amid Strong Investor Interest

chest

The presale of SUBBD Token has raised $147 million, attracting strong interest from investors and offering a 20% APY for staking.

user avatarMaya Lundqvist

Bitcoin Hyper Attracts Investment Amid Market Downturn

chest

Bitcoin Hyper is gaining traction with significant investments from whales, raising $313 million in its presale despite the overall market decline.

user avatarLi Weicheng

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.