Loop Airdrop — Analysis using Flipside Crypto
Loop is on its way towards developing a powerful community. It is a crypto content portal aimed to educate users while the Loop Market provides an automated market maker (AMM) DEX similar to TerraSwap’s AMM design. It is still in beta and scheduled to launch in November. As a part of rewarding the early adopters and the community, Loop distributed LOOP tokens through a Fairdrop. For more information on Loop Finance, check out the detailed article.
Wen Airdrop Ser?
The perpetual question that finds its way to almost every project’s social media channels, found its answer through Loop’s official release. Loop called its airdrop a Fairdrop.
Loop’s first announcement about the sale and the airdrop was made on 13th September. A subsequent announcement about the Fairdrop was made on 23rd September without giving any specifics about the exact snapshot date. Loop was airdropping a total of 6.5 Million LOOP to various groups -
- LOOPR token holders (our community members) — 2.68M
- LUNA stakers — 2M
- Gleam competition winners and participants — 820K
- STT stakers and liquidity providers — 500K
- MINE stakers — 500K
A further reward of 2M LOOP tokens will be distributed to all the liquidity providers that provided liquidity between 7th and 28th October (22 days). That will be a total of 90,100 LOOP daily.
Data Analysis using FlipsideCrypto
Based on the information provided and using FlipsideCrypto’s analytical dashboard portal, we will try answering the following questions -
- Addresses that were eligible for the airdrop and the addresses that have ended up claiming
- Post airdrop behaviour of Claimers
- Analysis of LOOP-UST and LOOP-LOOPR Pools
Addresses eligible to claim Loop Airdrop
The exact date for the snapshot was not provided and hence we will consider two dates. One after the first announcement, 18th September, and the other just before the second announcement, perhaps 21 September. We will get the eligible addresses and use that data to compare the number of addresses that ended up claiming the airdrop.
A total of 1666430 distinct addresses were eligible for the airdrop on 18 Sep.
A total of 1673201 distinct addresses were eligible on 21 Sep.
Comparing the data from these two dates -
a) The total no of distinct addresses are the same as the total no of LUNA stakers in both cases.
b) The number of LOOPR addresses (101) are all on-chain addresses which most likely were distributed to Trybe users who migrated to Loop. LOOPR tokens for the rest of the community have not been distributed to wallets and are locked.
c) Gleam and other competition addresses are not available and hence are excluded. A total of 650K was distributed to 81 users which leaves another 170,000.
d) STT single asset staking went live after 18th but before 21st and hence have been included in the addresses on 21st.
Addresses that have claimed the Loop Airdrop
a) The Percentage of addresses that have claimed the airdrop so far is 2%.
b) The number of LOOP tokens that have been claimed so far is 5113072.028219 which is about 78.6% of 6.5M LOOP tokens leaving 21.4% for the remaining 98%.
Post airdrop behaviour of Claimers
In order to get a fair estimate of the post airdrop behaviour, let’s identify the amount of LOOP that was sold after the airdrop.
The number of LOOP tokens sold on the first two days was 1.33M and 1.47M which is 70% of the LOOP claimed within the first two days (4M) and 43% of the entire airdrop amount(6.5M). It goes to show that mostly the whales ended up selling their LOOP while the addresses with smaller balances have been holding onto the LOOP showing confidence in its growth.
Analysing the data from the amount of liquidity provided by the airdrop participants, it can be seen that 1.7M LOOP was provided on the first two days. Comparing the same with the amount of LOOP claimed on the first two days (4M), it accounts for nearly 42% put back as liquidity.
Analysis of Loop-UST Liquidity Pool
The daily and cumulative liquidity of LOOP in the Pool shows an increasing trend and a growing TVL. The liquidity provided exceeds the liquidity withdrawn.
The maximum LOOP provided was on 7th and 8th Oct that makes up the bulk of the liquidity provided. The amount of LOOP provided since has been reducing continuously while the LOOP withdrawn has been going up. As can be seen, the cumulative Loop withdrawn is closing in on the Loop deposited.
Analysis of Loop-LOOPR Liquidity Pool
The daily and cumulative liquidity of Loop in the Pool shows an increasing trend and a growing TVL for the pool. The liquidity provided exceeds the liquidity withdrawn.
Comparing the daily and cumulative liquidity of LOOP, there are primarily two major spikes. The first one was on 14 Oct and another one on 18 Oct. That again forms the bulk portion of the liquidity provided. The amount of LOOP has been increasing compared to the amount of LOOP withdrawn which is a good sign. Though the volumes are in low numbers but overall it is a good sign of adoption for LOOPR.
My two cents
For stability, it needs more liquidity and pool pairs. We can already see sporadic fluctuations. The amount of liquidity has reduced from 24.44M UST on 29th Oct to 11.69M UST in a span of less than 24 hrs.
Having said that, any project that starts out will see challenges and a strong community helps overcome those. Loop has already stood the test of time migrating from EOS to Terra and from Trybe to Loop. I see a strong community in the making and only time will tell the rest of it.
