The cryptocurrency market has grown exponentially and now it is worth billions of dollars. Every year new and exciting crypto projects are being released and many of these are attracting crypto enthusiasts. One of those projects is Terra, a blockchain network that only focuses on stablecoins in a bid to counter the huge price volatility that other cryptocurrencies experience.
Among the digital currencies traded on the Terra blockchain is Luna, the network’s native token. The Luna token is analogous to the other cryptocurrencies traded on the Terra network like UST, which helps ensure that their prices are always equivalent to their pegged financial assets.
Terra blockchain uses the proof of stake method as a means of validating all the transactions on the network as opposed to proof of work popular with projects such as the Ethereum blockchain. It is through staking Luna that delegators earn Luna airdrops as rewards. In this article, we look at what Luna airdrops are and how they can be claimed.
What are Luna airdrops?
In the cryptocurrency market, airdrops are basically free income you earn just for delegating your digital currency for a specific amount of time. Airdrops are similar to dividends paid out in traditional finance although airdrops are paid more frequently and can be higher. Luna airdrops are a reward to those who delegate Luna either on the Terra network or any site that allows you to stake Luna.
Luna airdrops can be issued as a reward to those investors who try new Terra projects in order to raise awareness but mostly, they are issued to Luna stakers. Terra uses Luna to help ensure that all their tokens enjoy price stability and to achieve these, stakers must lock their Luna tokens for a specific number of days. Luna airdrops are issued as a reward for this loyalty. You can continue reading here to learn various ways you can claim Luna airdrops.
Types of Luna airdrops you can earn
Genesis Luna airdrops
One of the things that have made the Terra network stand out among other blockchain networks is that they are not shy about revealing new projects. Every now and then, Terra introduces new projects or shares updates about an incoming project.
To encourage crypto enthusiasts to try these new projects, Terra issues them with free airdrops which can be claimed as Luna or a stablecoin of their choice. That is why Terra is one of the leading networks in terms of market capitalization. Note that genesis airdrops are a one-time reward but usually huge.
Weekly Luna airdrops
These are the Luna airdrops that are issued to Luna stakers. Staking Luna on Terra is one of the best ways to earn passive income from Terra while in turn helping the network achieve price stability. The airdrops are paid weekly until the lock period is over. Weekly airdrops are usually smaller but in the long run, they constitute a huge yield.
How to claim Luna airdrops
The Terra blockchain network has been designed in such a way that it is dynamic enough to allow its tokens to be traded on other blockchain networks. There are several popular platforms on which you can claim Luna airdrops. The Terra station is one of the places where you can enjoy Luna airdrops. Before Luna tokens were rolled to other crypto networks, they were already available at the terra station meaning this was the first place you could get Luna airdrops.
You can also use popular networks like loop finance to earn Luna airdrops. Loop finance helps you access the Terra station through its network allowing you to enjoy airdrops like any other Luna delegator.