88% of Crypto Airdrops Fail — Can They Be Saved?

According to a new DappRadar report, over $20 billion worth of tokens have been distributed through airdrops since 2017, but nearly 88% of them lost their value within three months. Analysts say this highlights the gap between short-term hype and long-term sustainability in the crypto market.

Robert Hoogendoorn, head of content at DappRadar, believes the success of an airdrop depends on careful distribution and targeting the right holders. He explained that projects like Optimism used phased or selective distribution to limit community sell-offs. Still, factors such as product-market fit and real token utility ultimately determine success.

Meanwhile, Jackson Denka, CEO of DeFi platform Azura, argued that many airdrops fail because they are tied to projects with weak fundamentals and no real user base. “No amount of financial engineering or incentivization can save a bad project,” he said. “Airdrops connected to strong and growing products, however, tend to appreciate over time.”