NFT market and aggregator platform, Blur, has introduced its Season 2 BLUR airdrops, which can see 300 million further BLUR tokens added to the circulating provide. Nevertheless, this transfer has raised issues concerning the potential affect on the token’s worth and the steadiness of the platform.
The Influence of the Airdrops
The Season 2 BLUR airdrops will double the present circulating provide, resulting in a better supply-to-demand ratio, which may put downward stress on the token’s worth. The elevated provide may lower the demand for the token, as buyers could go for extra steady options. Consultants warn that this may increasingly lead to a big downside for the platform, which can wrestle to keep up its present place as a number one NFT market.
It is very important word that Stage 1 customers who participated within the airdrops could not really feel the affect as a lot as Stage 2 customers. The latter group could have purchased the token based mostly on excessive commerce quantity and thought that the venture was strong, which will not be the case. They could have finally dumped the token, inflicting a big downward stress on the token’s worth.
How the Airdrops Work
Blur prospects will likely be assigned a “loyalty rating” based mostly on their interplay with and dedication to the buying and selling platform. Patrons and sellers who chorus from utilizing some other NFT market will obtain a 100% loyalty rating. A person’s loyalty rating, together with the amount of NFTs they record, will decide what number of BLUR tokens they are going to finally achieve in a later airdrop.
Gamifying the Course of
The Season 2 airdrops will likely be distributed to merchants in a extra fixedly gamified program, in response to the corporate. Because of this prospects will likely be incentivized to stay dedicated to the buying and selling platform to obtain extra tokens. Nevertheless, this will not be sufficient to make sure the platform’s success, given the challenges posed by the doubled circulating provide and potential worth drops.
Blur’s Present Standing
Blur is presently valued at $1 billion, and its every day buying and selling quantity grew virtually 4X after it launched its native token, BLUR. The platform has even overtaken the once-untouchable competitor, OpenSea, as the preferred Ethereum NFT buying and selling platform by buying and selling quantity. Nevertheless, Blur’s success will not be sustainable if the worth of the BLUR token continues to drop.
