It was reported on Thursday that Hop Protocol, a multi-chain bridge on Ethereum, was launching an airdrop for early adopters and a new governance token under the ticker HOP.
Hop DAO, a decentralised autonomous organisation, will benefit from the token launch. Cross-chain bridge Hop connects Ethereum with other EVM-compliant blockchains. By connecting Polygon and Gnosis sidechains, as well as some Layer 2 networks like Arbitrum and Optimism, the bridge allows Ethereum users to send and receive funds. The Hop bridge has handled more than $2 billion in cross-chain transactions since its inception in 2021.
Hop is the latest cryptocurrency initiative to reward early adopters with a token that may be used in the future. Another three cryptocurrencies have announced governance tokens and airdrop plans for early adopters this year: Optimism, CowSwap, and Connext (CONN).
Cutting out the airdrop farmers
Among the entire HOP supply of 1 billion, Hop distributed 8% (or 80 million tokens) as an airdrop to bridge users and contributors. Early bridge users received 3.35 percent of the total (33.5 million tokens) of this allocation.
There were still those who didn’t make the cut. According to an official Twitter post, only individuals who have transferred more than $1,000 across chains and done at least two transactions were considered bridge users. The team recorded 43,000 Ethereum addresses prior to Thursday.
Many bridge users were excluded from the airdrop as a result of this stringent criterion, but the Hop creator said it was necessary to weed out airdrop farmers, also referred to as “sybil attackers.” DeFi items are purchased in modest sums from many wallets by airdrop farmers in anticipation of future payouts.
Because of this, we set the bar as low as we could. On Twitter, Hop Protocol’s CEO Chris Whinfrey remarked that the $500 to $1000 Sybil attackers were too numerous to manage and would have resulted in no one receiving a big drop save for the bot farms.
As part of the airdrop, 4.65 percent of the tokens (46.5 million tokens) were handed to liquidity providers, “bonders,” and other first supporters.
Other than the first airdrop, 92 percent of the tokens will be used to support the bridge’s operations over the next several years (920 million tokens).
Of the HOP token supply, 60.5% will go to the Hop DAO’s treasury and 22.5% will go to the project’s original development team members. There will still be 9% left over for hiring more team members and investors, according to the Hop team.
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