023 has emerged as a significant year for crypto airdrops. A recent analysis revealed that out of the 50 most substantial crypto airdrops since 2020, 13 occurred in 2023, collectively distributing roughly $4.56 billion worth of tokens.
These figures are calculated based on the tokens’ values at their respective all-time highs (ATHs), painting a picture of substantial distribution.
The year 2023’s airdrop landscape was less crowded than 2021, which had 18 entries in the top 50, but the impact was notable. A report from CoinGecko highlights this trend shift, contrasting it with the mere 5 airdrops in 2020 and 14 in 2022.
Arbitrum Leads 2023’s Airdrop Charge
Arbitrum, an Ethereum layer 2 scaling solution, topped the 2023 airdrop chart by distributing ARB tokens valued at $1.96 billion on March 23. This move significantly impacted its total value locked (TVL), which surged by 147% during the anticipation period.
This airdrop alone constituted a substantial portion of the total value distributed in the year. Celestia, with its TIA tokens, followed suit, distributing $728 million on October 31.
The airdrop targeted a diverse group, including developers, Ethereum rollup users, and stakeholders in the Cosmos Hub and Osmosis.
Blur’s first airdrop, which handed out $446 million worth of BLUR on February 14, ranked third. The success of this initial airdrop set the stage for a second, which distributed an additional $327 million, ranking fourth.
A Closer Look At 2023’s Crypto Airdrop Trends
While Arbitrum, Celestia, and Blur’s first airdrop made up 69.9% of the total airdrop value in 2023, the year saw diverse contributions across the sector. Jito, Worldcoin, Aidoge, and other projects followed, each adding to the cumulative value and diversity of the airdrops.
The total value distributed in 2023 may have seen a decline compared to 2022, but it’s essential to consider the market cycles these newer tokens have experienced.
Unlike earlier tokens which saw the 2021 bull market and the 2022 non-fungible token (NFT) market surge, many of 2023’s airdropped tokens are yet to undergo a full bull market cycle.
In terms of performance, Arbitrum and Worldcoin have shown significant gains, with ARB rising by 22% in the past week to trade at $1.33, at the time of writing and WLD by over 60% in the past two weeks to trade at $3.86, at the time of writing.
Celestia and Blur follow closely in terms of price appreciation, with both tokens up by 10.7% and 5.7% respectively in the past 7 days.
Conversely, Jito, despite being the newest among them, has seen a dip in its value down by 9.4% in the past two weeks but shows signs of recovery in the past week, up by 9%, illustrating the dynamic and often unpredictable nature of token valuations post-airdrop.
Featured image from iStock, Chart from TradingView
