The crypto market is looking forward to upcoming airdrops and forks from major coins, including the Ethereum Classic (ETC) and Callisto (CLO) airdrop and the NEO and Ontology Network airdrop expected in March. The Bitcoin Private (BTCP) fork is also scheduled for February 28, and will result in free BTCP tokens for those holding Bitcoin and Zclassic – the reason why Zclassic shot up from under $10 in December to over $150.
Even though cryptocurrencies are highly volatile and speculative, there are some events which almost guarantee gains – such as forks and airdrops. If you aren’t familiar with these terms, you can think of them as free coins – and everyone loves free things.
However, airdrops and forks are not the same thing – with an airdrop, a token holder receives additional tokens from another blockchain, typically distributed as part of a partnership or a community initiative.
In the case of ETC and CLO airdrop, every Ethereum Classic holder will receive free CLO tokens in a 1:1 ratio – which means 1 CLO for 1 ETC held in your wallet. Even though the future price of CLO is not known yet, the project, which aims to become more of a test network allowing ETC developers to implement experimental updates, is expected to provide a boost to ETC.
Similarly, in NEO and Ontology’s case, the latter has donated free ONT tokens to the NEO Council, which will now be airdropping them to NEO holders in a 1:0.5 ratio, out of which 50% will be available now and the remaining will be available once the Ontology Mainnet goes live in Q2.
With these airdrops, prices are expected to increase, but as was the case with the NXT IGNIS airdrop, a lot of people enter the market to quickly profit from the surge and exit before the snapshot takes place. This often leads to a dump, typically right before the snapshot and almost always after it, as money moves elsewhere.
As of now, the ETC snapshot is expected on March 5, while the NEO ONT snapshot is due on March 1. As long as you are holding your ETC in a wallet where you control the private keys, you should be able to claim CLO. For NEO, all official wallets should be alright, but if you are holding your tokens on an exchange, you might want to ensure that your exchange supports the airdrops, otherwise you will not be receiving the free tokens.
Finally, there are obvious risks to investing in any cryptocurrency, especially when you invest due to an upcoming development, since traders seeking profits are only interested in selling and moving out – leaving potential bag holders who buy the top. If you’re going to be investing in either ETC or NEO in anctipation of the airdrops, we advise caution – do not invest what you cannot lose.