Solana’s DEX Drift is set to airdrop 100 million tokens in the coming weeks. What you need to know.
Solana’s decentralized exchange (DEX), Drift protocol, has announced plans to airdrop 100 million tokens to its users in the coming weeks.
Since the launch of Drift in 2021 as one of the foundational projects on the Solana blockchain, the protocol has grown to be one of the largest open-source perpetual futures DEX on Solana (SOL). The project started with $1 million in Total Value Locked (TVL) and less than 100 daily active traders.
Drift has over $350 million TVL with a user base of over 180,000 traders and has facilitated a cumulative trading volume exceeding $20 billion.
What DRIFT Governance Tokens Aim To Achieve
The core objective of the DRIFT governance token is to empower its users by providing them with concrete ownership of the protocol and a substantial say in shaping and guiding its development through the Drift DAO. The new token follows a three-month points program that attracted traders, borrowers, lenders, and airdrop farmers.
According to protocol contributors, the majority of the 100 million tokens allocated for the airdrop will be distributed to longstanding Drift users.
Drift is the latest addition to Solana’s financial infrastructure. It aims to decentralize its operations by creating a token whose holders can vote on crucial decisions at the exchange, such as determining which tokens to list or when to implement software upgrades.
Drift guarantees sustainable and healthy growth alongside its most engaged participants by distributing power and decision-making throughout the ecosystem rather than centralizing it.
Distribution of DRIFT Tokens.
Drift noted that 1 billion DRIFT governance tokens will be distributed for five years, with over 50% allocated to the community.
Forty-three percent of the tokens will be allocated to “ecosystem development,” covering trading rewards, liquidity incentives, and potential future airdrops. Additionally, Drift’s website indicates that 25% of the tokens are set aside for “protocol development” payouts to the platform’s contributors.
According to the token’s website, 10% of all DRIFT governance tokens have been reserved for the initial launch phase. The distribution of these tokens will acknowledge existing users for their past contributions to the platform’s development and expansion.
Twenty-five percent of the tokens will be allocated to current and future contributors to develop Drift protocol stooling, products, and infrastructure. The allocation also includes treasury funds reserved for protocol development.
Meanwhile, twenty-two percent will be credited to supporters and significant partners in the space, representing their profound contributions that have greatly helped and enhanced the network.
