What is the difference between Faucets, Airdrops, and Bounties?
It´s easy to confuse the three of them, all of which are methods of earning cryptocurrency rewards, but though they do have some similarities, they also have distinct aspects to them.
Faucets are websites you have to visit periodically, and they give you tiny amounts of cryptos. You might have to fill in lots of captchas to prove you are not a robot, and sometimes you have to go through a process of completing some small tasks repeatedly to get rewarded with cryptocurrency. You might find yourself spending a lot of time in a faucet website because the longer you are there, the more ad revenue you will generate, meaning you are making that website some cash and driving in traffic. For that reason, they make sure to catch your attention and usually release the tiny amounts on the hour, every hour, all day long, to keep you returning. Faucet websites also serve the purpose of promoting a particular coin or token.
It is called faucets because it is supposed to be thought of as faucets pouring out cryptos, when in fact it isn’t that generous. It is more like drips and drops.
Airdrop is when a startup gives away tokens or coins to generate a fast distribution of their project as well as to raise awareness. Usually but not always startups will look for people who already own a certain amount of coins of a particular cryptocurrency to reward them. The reason being is because they are interested in getting right into their communities, not just individuals. If a coin or token is embraced by a community, there is a greater chance of appreciation and growth. For example, a startup may search for bitcoin owners who own more than 5-bitcoins to reward them with their new project so that they may be inserted into a bitcoin community, which we all know it is a strong community.
There are several websites you can earn airdrops, and most of the times all you have to do to get your tokens is give away your email and/or sign up to the projects social media, share, like (that sort of thing), and as soon as you are finished with the requirements you will automatically receive your promised tokens (most airdrops send tokens automatically, but it may vary). Though they do have deadlines, there are several new airdrops daily just keep an eye out for new opportunities.
The amount you will get with airdrops is unclear some coins may amount to nothing and others may appreciate quickly. For example, NEO holders not too long ago received Ontology tokens which appreciated right after the distribution. Collecting airdrops is good practice to learn how to navigate the cryptocurrency platform, how to use wallets and keys, transfers, exchanges, and you never know which will turn out to be great projects.
Airdrops have been replacing ICOs for a while now, simply because the distribution is faster, cheaper and reaches a wider range of people.
Bounties are projects, jobs, and tasks offered by developers of a token, a coin and or a blockchain. They present a list of all these bounties needed to implement their projects, along with the reward amount they desire to pay for each task. Tasks may include new graphics, translations, marketing and promoting the project, writing content, most of which do not require programming skills. But there are Bug Bounties which are advanced tasks for programmers to find bugs within blockchain projects. Anyone can pick something off the list, get it done and offer to the developers, if they like it, and are able to verify legitimacy you receive the promised reward.
Remember nothing is ever truly free, your time and effort is $$$, and you should see it that way. Also, make sure to be diligent when experimenting with different cryptocurrency related websites;
1. Stay alert for Fraudulent Websites or Suspicious Links;
2. Never give away your private keys, home address or phone number;
3. Never use your private emails, use a secondary email preferably not linked to your digital wallets;
4. Seek good reviews;
5. Keep your expectations low;
6. And please warn others and the communities whenever you come across a fraudulent website or whenever it doesn’t work out the way it should.
Hope you have learned something today from our article! Feel free to share the information and help somebody else. We´d like to hear from you so leave us a comment!