← Back to Airdrops archive
Airdrop Basics
Airdrop vs Token Incentives
Learn how airdrops differ from ongoing token incentives, liquidity rewards, staking rewards, and ecosystem reward programs.
Airdrop map
What this means
Airdrops are usually discrete distributions, while token incentives are ongoing reward mechanisms designed to encourage specific behavior.
Core ideas
What to understand first
- Airdrops often happen around launches or milestones.
- Token incentives can continue over time.
- Incentives may reward liquidity, staking, referrals, or usage.
- Both can affect token supply and market behavior.
Safety checklist
What to check before acting
- Check whether rewards are one-time or ongoing.
- Understand what action is being incentivized.
- Review vesting or lockup terms.
- Check whether rewards require approvals.
Risk note
Common mistakes to avoid
- High incentives can attract short-term farming.
- Rewards may dilute existing holders.
- Fake incentive pages can request malicious approvals.