DSTRA Airdrop Mechanism

DSTRA aims to have as many users as possible, the airdrop mechanism is one of the ways we achieve this.

First, some theory: Metcalfe’s law states that the value of a telecommunications network is proportional to the square of the number of connected users of the system n². First formulated in this form by George Gildera and attributed to Robert Metcalfe in regard to Ethernet, Metcalfe’s law was originally presented, c. 1980, not in terms of users, but rather of “compatible communicating devices” (for example, fax machines, telephones, etc.). Only later with the globalization of the Internet did this law carry over to users and networks as its original intent was to describe Ethernet purchases and connections.


What does it mean?

The value of a network (ie. a blockchain) increases a lot with every single user that joins. If the value of a network increases, then the value of each individual coins increase. This was and is still very noticeable with bitcoin.


Growth per airdrop

Assuming we had 530 users in round 1, did 20 airdrops, and had only a growth factor of 5% then we would end up with ~1.400 users. Granted, they’d probably have a lot of coins. These would also be worthless – and would probably die a silent death.

On the other hand, if we have a growth of 25% we’d end up with over 36.000 active users, which would make us one of the more popular cryptocurrencies.



So what does it mean for me?

Invite everyone you know to join our airdrops and spread the word!
We’ll distribute a higher AD pool if we reach our targeted community growth.

If a lot of users join the airdrops, everyone will probably get fewer coins, but each coin will be worth much more in comparison.


How many airdrops should we do?

We should do as many as needed to grow to a decent size. Give less when there are no new users, so our users find new and innovative ways to spread the word. Give more to reward our users if the community has grown substantially.

The only thing that limits us is the remaining budget of 13,728,945 DSTRA. If they are gone, no more airdrops. That’s why we present the Community Sized Airdrop Pool.


How does it work?

First of all, the first airdrop, in which this system will be used, is the upcoming AD4 and will be 240,000 DSTRA in total. At that airdrop, we will count the number of valid participants.

To be a valid participant you need to register correctly (details will follow later) and you need to engage with the community.

For the next airdrop, things will be different, there will be no fixed amount to drop but an expected growth percentage and a bounty attached to that.


Complicated?

Let me give you a fictional example:

  • Base Amount: 200,000
    Base Amount for an airdrop. Used when the community grows, but the target isn’t reached.
  • Target Growth: 10%
    What’s the target for growth for the current airdrop?
  • Target Amount: 500,000 DSTRA
    If the community grows with the target growth (10% in this example): 500.000 DSTRA
  • Min airdrop amount: 100,000 DSTRA
    If the community stays the same size or gets smaller.
  • Max airdrop amount: 1,000,000 DSTRA
    Assuming the community grows by 1000%, we don’t want to airdrop everything at once.

  • Assuming there were 1000 users last airdrop
  • Assuming for ease of math there is a total 10,000,000 to be airdropped over all airdrops and we’re using the same metrics at each AD.
  • If we grow 0 %, every time we give away 100,000 at each AD and after 100 ADs it’s over. We’ll have 1000 users, with a lot of low-value coins. It would be hard to get listed, let alone at a decent exchange.
  • If we grow 10 %, we give away 500,000 at each AD and if that happens every time (doubtful) we’ll only do 20 drops and have 3,325,257 users – we’ll let you think about how much your coins would be worth in that case.
  • Should we grow by more than 23% (in this example) we limit the pool size to 1,000,000 DSTRA.


Result

  • Small growth

    • Many airdrops rounds, more time to get more users and find innovative ideas to increase the value of the coin.
  • Large growth

    • Airdrops will be over sooner because they are much bigger, the value of the coin will increase more than enough to make up for the fact that we have to split them between a larger group of people.


Distribution of airdrop over the channels and participants

We know from experience that it is very hard to set clear rules without people gaming them. This has been an issue in previous drops and will stay problematic.

People who read those rules will immediately set a strategy to score as many points with as little effort. This is an economical and game theoretical reality. We don’t want to invent too complex algorithms to do the airdrop as well. We think it’s necessary that people are able to understand the numbers.


How to stay ahead of cheaters

The executive staff does not participate in the airdrop. Their motives are aligned with the success of the coin. The goal is clear: to have as many users as possible, to getting DSTRA out to the world.

Efforts towards that goal should be rewarded, cheating and gaming the system discouraged. Since it’s a game, the executive staff will be neutral game masters, solely motivated by getting as many players as possible.

People who get others involved and share with the community will get rewarded. Admins will try to discourage gaming, to their best abilities.


Transparency

We need total transparency.
We also need to be agile and flexible. If we see an influx of users on discord and that seems to be the place for us, then we need to provide more weight and airdrop to the discord activities.

If we include other channels, that should also be possible. Also, if (for example) we see a lot of abuse by our users on the bitcointalk then we should be able to decide to remove that incentive from the airdrop.

Within channels, we are faced with similar questions: how does one measure forum participation? Is it the number of comments? The number of words? Should there be a bonus for thread starters with many replies? Do ‘likes’ count? If so, how many stakes?

On top of that there’s an accounting issue, how to tally all these efforts to a single document, how to link the efforts together, present the results and do the airdrop?

From previous drops we’ve noticed that many helpful suggestions on airdrops were quite influenced by personal motives.

We do offer full transparency after each airdrop. A report will be published with how we divided the shares amongst the channels. People will be able to look up their result and see how much they got in each category if the rules of calculation were changed since our last drop it will be noted in the report.

You, our user, are free to give your comments on the report and suggestions for improvement in the usual suggestion channels, they will be processed by the airdrop team before our next airdrop.

We proved to always have a fair distribution in mind, which you were able to experience in our first three AD rounds. In our impression, we could satisfy our community with how we handled our AD distributions and calculations. We reserve the ability to update and tweak these rules at every airdrop, which should result in a process which is as fair for everyone as possible.


DAM FAQs

  • How will we deal with cheating?
    To qualify for an airdrop, you need effort. Some people might be concerned that fake accounts will be counted as a real one. Since there will be a ladder system for dividing the drop, this would be a deterrent to the cheater. The extra effort he/she puts into this will not go to contributing to the community. Their multiple small shares will not be worth as much as the share of a single profile user with higher contribution to the community. The cake will get bigger (it appears) but the cheaters share will be smaller. Nevertheless, we will monitor for fraudulent behavior.
  • When will we know the amounts?
    Each round we’ll announce: Base amountTarget growth and Target amount  – so it will be completely clear for you, how many members are needed to fulfill our target.
  • How will you calculate growth?
    We will compare the number of participants between the current airdrop and the last. Additionally, only active participants will be counted for growth and community size – for example “participants”, that only get the Hodl bonus, won’t be counted.