Coinfeeds Daily → Pyth Network's Airdrop Puts $77 Million in User Wallets, Challenges Chainlink

Pyth Network's Airdrop Puts $77 Million in User Wallets, Challenges Chainlink

Published: Nov 21, 2023 | Last Updated: Mar 17, 2024
Howard Kane

Generous distribution of PYTH tokens attracts new users and positions Pyth as a formidable competitor in the DeFi oracle space, prompting a strategic response from a new crypto exchange.

The cryptocurrency community has been abuzz with excitement following the Pyth network's recent token airdrop, which has significantly enriched the wallets of crypto users. This event has not only put Pyth on the map as a formidable player in the decentralized finance (DeFi) space but has also highlighted the growing trend of traditional institutions embracing decentralized technologies.

Pyth's Generous Airdrop

The Pyth network, known for its decentralized oracle services, has made a splash by distributing about 250 million PYTH tokens to its users. This generous airdrop resulted in an impressive initial market capitalization of $765 million for the PYTH token, although this figure later settled at around $457 million. The tokens began trading at $0.53 each but experienced volatility, dropping to $0.28 before stabilizing slightly above $0.30.

Impact on the Market

With over $77 million worth of PYTH tokens distributed, approximately 35,000 of the 90,000 eligible wallets have claimed their share. This large-scale distribution has not only rewarded early adopters but has also attracted a wave of new users, eager to participate in the growing DeFi ecosystem. The deadline for claiming the free tokens is set for February 18, providing a window of opportunity for users to take part in the airdrop.

Pyth vs. Chainlink

Pyth Network's airdrop has cemented its status as a competitor to Chainlink, one of the leading oracle services in the DeFi space. Pyth's exceptional refresh rate speed and its ability to provide access to over 300 real-time price data points across major asset classes have contributed to its growing appeal. With a market share of 4.75%, Pyth is now the fourth-largest oracle network by total value secured.

Backpack's Incentive Program

In a strategic move, a new crypto exchange named Backpack announced its own airdrop of PYTH tokens to new users who staked SOL within the last two days. This incentive program aims to draw more participants into the ecosystem and further increase the adoption of the PYTH token.

Practical Takeaways

For crypto enthusiasts and investors, the Pyth airdrop serves as a reminder of the potential rewards for early participation in promising DeFi projects. It also underscores the importance of staying informed about upcoming airdrops and understanding the criteria for eligibility. With the deadline for the Pyth airdrop approaching, interested parties should act quickly to claim their tokens. Moreover, the rise of Pyth as a Chainlink challenger suggests that the DeFi oracle space is becoming increasingly competitive, offering users a variety of options for real-time data and financial services.

In conclusion, the Pyth network's airdrop has not only enriched its users but has also demonstrated the potential for significant growth and competition within the DeFi oracle market. As the landscape of decentralized finance continues to evolve, such events are likely to become more common, providing ample opportunities for users to engage with and benefit from the burgeoning crypto economy.

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