The post Blast Airdrop: Why did BLAST Price Crash? appeared on BitcoinEthereumNews.com.

What Happened During the Blast Airdrop? The highly awaited Blast airdrop, linked to the Ethereum layer-2 network, launched this Wednesday morning. It distributed a substantial number of tokens worth hundreds of millions of dollars to its user base. Despite the impressive rewards, the response from the decentralized finance (DeFi) community was mixed. Many participants felt their high expectations were not met, leading to an immediate sell-off that significantly reduced the token’s value. Why Did BLAST Price Crash in Value? BLAST tokens debuted at around $0.025, giving the 17 billion tokens in the first phase of the airdrop a total value of approximately $430 million. Of these, 14 billion tokens, worth about $354 million, were allocated specifically as rewards for Blast users. However, almost immediately after the release, a wave of selling activity ensued. This surge quickly drove the token’s price down to approximately $0.02, reducing the value of the tokens reserved for users to $289 million. What Caused the Massive Selloff of BLAST Tokens? The rapid decline in the token’s value appears to be due to a combination of unmet expectations and immediate profit-taking. The Blast network, a favorite among cryptocurrency whales, had raised high hopes within the DeFi community. Many drew comparisons to past successful airdrops like that of Blur, a pioneering NFT marketplace, which had resulted in significant financial gains for participants. This likely fueled the lofty expectations for the Blast airdrop. How Did the Claim Process Impact the Airdrop? The airdrop claim process was elaborate and somewhat cumbersome, contributing to user dissatisfaction. Participants were required to complete several steps: watching a video from Pacman, the founder of Blur, explaining the future vision and roadmap for Blast; scanning a code with their mobile devices; downloading the Blast app; and entering specific words into a desktop or laptop interface.…

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Filed under: News - @ June 26, 2024 9:18 pm