How to Reduce Selling Pressure After an Airdrop
To minimize users selling their tokens, there are two main approaches: rewards and penalties.
Here, we will only discuss reward-based methods, as penalties may have negative side effects.
Reward Methods
Define the Token Release Monitoring Time as N.
- After the Token Release Monitoring Time (N), set a claim period (e.g., N to N+15 days).
- Allocate additional tokens (total airdropped tokens / 5) + unclaimed tokens to establish a locking reward pool.
- The locking reward pool is only open for a limited time (e.g., N to N+10 days).
- Locking periods can be 1 month, 3 months, 6 months, 9 months, or 12 months.
- Different locking durations correspond to different multipliers (e.g., 1.3x, 2x, 3x, 4.3x, 6.5x).
- The staked token amount × corresponding multiplier equals the user’s reward points.
- Between N+16 and N+17 days, announce the total points and the final reward pool size, so everyone can calculate how many tokens they will receive.
This method increases the incentive for users to stake their tokens. There are a few key factors:
- Point 2: Establishing a Base Pool and a Floating Pool – The base pool ensures a minimum reward, while the floating pool remains uncertain due to the early closure of the staking period, making it impossible to calculate in advance.
- Users Cannot Know the Total Staked Amount – If only a few users stake, the distribution of the staking rewards will be very significant, potentially exceeding the original token amount.
By implementing this method, we can reduce selling pressure at launch, maintain token value, and help Linea navigate this economically challenging period, leading into the next bull market cycle.
I hope my concept can be of help to the Linea team. Wishing everyone the best of luck! 