AIRDROP FARMING: RISK AND REWARD

in #airdrop3 months ago


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Early this week a mutuall of mine's wallet was hacked. According to him, he performed a swap on a decentralised exchange and in minutes, $15,000 was funnelled out of his account. This is an example of the few issues plaguing the crypto space, hence why most people (I talk to) are reluctant whenever I mention airdrop hunting.

Most people have terrible experiences farming airdrop or they have heard of stories about mutuals losing money to airdrop scams or hacks. This is the reality of those who choose this path. In this post, I will highlight some of the pros and cons of farming airdrops and ways one can mitigate risk.

If you decide to venture into airdrop farming fully or part-time it is important to understand the risks and rewards associated with this endeavour. Right now it is glamourized on Web 2 as the fast way to make money in Web 3 and rightly so but the risks are significant as well and you must prepare for them emotionally and physically.

What would you do if you lost all you had to a crypto scam or hack? Everyone assumes that they will never be a victim but hacks and scams are more commonplace than most people would want to admit and it is always an afterthought until it is too late. One of the reasons most airdrop farmers never think of after getting hacked is because they start with nothing (too close). This gives them the luxury to be reckless. However, when they start building capital they continue in this happen.

So start thinking about what you would do if you got hacked. Think about the decisions you are making and the consequences of your actions. Are you going to be able to stomach the loss? If your answer is no then you should not be airdrop hunting. You can try something else that is within your safety threshold or state taking precautions. For instance, I will never have more than $500 in a hot wallet i am actively using to trade or farm airdrops. If I need to hold any sum above $500 it should be a Centralised Exchange for access and that sum will be within $500-$5000. These figures can be adjusted over time but right now this is the amount of risk i am willing to entertain.

Now to the positive aspects of farming airdrop. The first is exposure which is both a good and bad thing. Exposure makes you susceptible to hacks and scams, but at the same time, it makes you aware of their existence. With exposure comes experience which comes in handy in the long run. You develop hackeye vision and can spot something sketchy before most people can. Being exposed opens you to new technology and development in the crypto space, which opens you to opportunity. This is why most airdrop hunters are successful. They have excess social and financial capital, which leads them to grow their portfolio a lot faster than most players in the crypto space. This is why I believe it is a risk worth taking.


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I have been encountering fake airdrop lately to the point that I am no longer interested in joining new ones. After the long process, when it reach to withdraw, they will be demanding a fee....that's not expected maybe because I am still a newbie in crypto?
Thanks for this insight though
!BBH

@sagarkothari88 vote

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