As predicted with $SOS, free airdrops are continuing, this time with GAS DAO and $GAS
The Gas DAO has taken one from the $ENS and $SOS playbook and came in with a free airdrop last night. Safe to claim, $GAS intends to:
“[be] the heartbeat and voice of the largest community of Web3 native users on the Ethereum Network, bridging the worlds of Defi, NFTs and DApps”
So what does this Web3 buzzword-filled sentence mean?
Users who have spent for than $1559 on ETH gas can claim $GAS tokens. The purpose of this token is to create a DAO that unites the most active ETH users. In theory, the most active users should have the highest spent gas fees, thus the highest $GAS allocation.
Users with more than 1B $GAS tokens will be able to submit proposals for the DAO to vote on. The DAO votes on these proposals, and proceeds based on the results, using funds from the treasury.
The $GAS Tokenomics
The $GAS token is an ERC-20 governance token. In terms of distribution:
- 1 Trillion Total Supply
- 55% Airdroped to 634,429 eligible wallets
- Minimum $1559 USD spent on transaction fees
- 30% reserved for DAO Treasury
- 15% reserved for 25 core contributors (80% vesting over 6 months)
- 20% available immediately
Eligible users have until May 1st, 2022 to claim their tokens. The unclaimed tokens transfer to the DAO treasury after this date. Those that are ineligible for the “free” airdrop (in quotations because it isn’t really free. We’ll get into that) can purchase the coin on the open market.
The Gas DAO Irony
The irony of the $gas airdrop costing more in gas to claim than the airdrop is worth 💀
— Hugh (@HughCreates) December 29, 2021
For many users, this couldn’t be more true. Sure a large percent of the NFT community are eligible for this airdrop (gas fees really add up over time), but you need to pay gas to claim your allocation.
This kind of creates a bit of a predatory cycle for those that are blinded by the “free” money. Allow me to explain how these airdrops work in general terms. Of course, this is not a direct criticism of $GAS, but they are the latest to jump on the trend:
- Users see they are eligible for a free airdrop. Fantastic!
- They go to claim their tokens, and blindly pay the gas fees
(~0.02 ETH or higher), as we all do
- The majority of users now have millions of these tokens that convert to ~0.05 ETH or less
- Now users decide to either hold this bag of tokens hoping for a pump (Which probably won’t happen anytime soon i.e. $SOS) or sell the ERC-20 governance token
- Now, users have to pay a gas fee to convert their tokens to ETH or hold hoping this DAO gains traction
- By the way, the gas cost to claim and sell the token equates to the same, if not more, than the amount to claim.
In short, if you aren’t a whale getting airdropped billions of these tokens at once, and selling immediately, it’s really not worth claiming for the most part.
The instant popularity, and interesting tokenomics (take a closer look at the vesting schedule), provide a gold mine for devs. The $GAS contract was deployed in the last 24 hours. In theory, and if my math is correct, the 25 core contributors receive 6,000,000,000 tokens each. At the time of writing, this converts to $10,200 USD.
While according to the Discord server, no core contributors have sold any of their allocations, be very careful of “free” events like this in the future. It really is set up perfectly for rug pulls of unheard of proportion.
we're entering peak airdrop wars now, this is easy mode for scammers:
— immediately has a group of followers protecting bags that didn't exist an hour ago
— can fall back on it being a "free" drop when the project fails
— lack of detailed roadmaps are a feature not a bug
— Giancarlo (@GiancarloChaux) December 29, 2021
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