Bittime - The crypto world is again in turmoil with the polemic regarding the distribution of the Ether.Fi airdrop . This time, the liquid restaking platform Ether.Fi is in the spotlight following the $ETHFI token distribution scheme which is considered controversial.
On Saturday (16/03/24), Ether.Fi announced the first phase of their airdrop which will allocate 6% of the total token supply. ETHFI itself has a total supply of 1 billion tokens, with an initial circulating supply of 115.2 million.
Ether.Fi Airdrop Monopolized by TRON Founder: Justin Sun
Ether.Fi has determined several criteria to determine the eligibility of airdrop participants, such as ownership of eETH, inviting friends to join the protocol, or participation in the Early Adopter Program.
However, an uproar hit the Ether.Fi community when it was revealed that Justin Sun, founder of the TRON network , could potentially earn around 3.5 million ETHFI, equivalent to 2% of the initial allocation of 60 million tokens. This allocation was provided in exchange for Justin Sun's recent deposit of 20,000 ETH into the protocol.
The community speculates that the tokens are worth up to $20 million. This has raised concerns about potential exploitation by "whales" (a term for investors with large crypto holdings).
Concerns were further strengthened by the fact that 85% of the total Ether.Fi airdrop was allocated to the top 500 wallets, while the rest was distributed to more than 70,000 other wallets. It is feared that the scheme will further enrich the whales and marginalize the project's initial contributors.
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Fierce debate colored the distribution of the Ether.Fi airdrop
Proponents of these schemes argue that the model can encourage desired behavior, such as staking large amounts. They argue that protocols have the prerogative to incentivize participation in the way they see fit, and staking becomes crucial in this scenario.
On the other hand, critics oppose the scheme citing potential manipulation by the pope and marginalization of the community. They suggested that the Ether.Fi airdrop consider a fairer and more inclusive distribution model, such as:
- Implement a points system: This system can consider various factors such as active participation in community forums, contributions to protocol development, and token ownership.
- Setting ownership limits: This can help prevent excessive accumulation of tokens by a few parties.
- Perform gradual distribution: This scheme allows adjustments based on project development and feedback from the community.
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Ether.Fi Airdrop Distribution Controversy
The Ether.Fi airdrop distribution controversy is an important reminder for crypto project developers about the importance of transparency and inclusivity in designing token distribution schemes.
The Ether.Fi airdrop was supposed to be a tool to encourage community growth and participation. By designing fair and transparent distribution schemes, crypto asset projects can create an inclusive and sustainable ecosystem.
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How to Buy Ethereum (ETH) on Bittime
You can buy and sell Ethereum (ETH) in an easy and safe way via Bittime . Bittime is one of the best crypto applications in Indonesia which is officially registered with Bappebti.
Ethereum (ETH) is available on Bittime with the market pair ETH/IDR . To be able to buy ETH/IDR at Bittime, make sure you have registered and completed identity verification. Apart from that, also make sure that you have sufficient balance by depositing some funds into your wallet. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can purchase crypto assets in the application.
Learn the complete guide on how to buy Ethereum (ETH) on Bittime.
Monitor price chart movements for Ethereum (ETH), Ethereum (ETH) , Solana (SOL) and other cryptos to find out today's crypto market trends in real-time on Bittime.
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DISCLAIMER: This article is informational in nature and is not an offer or solicitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.
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