Airdrops are a popular way of distributing new tokens or coins to crypto users, usually for free or in exchange for some tasks. Airdrops can serve various purposes, such as increasing awareness, rewarding loyalty, or incentivizing adoption. However, airdrops also face some challenges, such as spamming, botting, or sybil attacks. How can airdrop organizers ensure that they are reaching the right users who are genuinely interested and engaged in their project?
In this article, we present a comprehensive case study on using Octan Reputation Score to qualify users for airdrops, focusing specifically on the ARB token receivers. By examining the effectiveness of Octan Reputation Score in this case study, we aim to highlight the potential of this metric in ensuring fair and impactful token distribution.
Octan Reputation Score Overview
Reputation Score is a quantitative measurement that reflects the trustworthiness and reliability of an account in the Web3 ecosystem. A higher Reputation Score indicates a higher level of trust and importance within the community.
Octan Labs has employed advanced ranking algorithms to calculate Reputation Score. These algorithms are designed to analyze on-chain transactions and assess the behavior and activities of an account within the ecosystem. By considering factors such as the frequency of transactions (both sending and receiving), the value of transactions, the longevity of the account, and the types of transactions performed (such as transfers, interactions with smart contracts, or participation in governance), the Reputation Score algorithm assigns a numerical value to each account.
The Case Study: ARB Token Airdrop
Building upon the foundation of Octan Reputation Score, this case study explores its practical application in the distribution of ARB tokens. The objective is to assess whether Octan Reputation Score can effectively identify legitimate recipients for airdrops and contribute to specific goals, such as improving token distribution efficiency and enhancing user engagement. Through a detailed analysis, valuable insights will be gained into the potential benefits and limitations of leveraging Octan Reputation Score in the context of airdrop distribution.
Methodology
In this case study, we employed a rigorous methodology to investigate the feasibility of using the Global Reputation Score (GRS) for verifying the eligibility of ARB token airdrop recipients on Arbitrum.
Learn more about the Global Reputation Score concept.
We collected comprehensive data on the receivers and utilized our ranking algorithms to calculate the GRS. We analyzed the distribution of ARB tokens among the receivers, compared the GRS with the amount of tokens received, and evaluated the GRS effectiveness by comparing it with other metrics.
Analysis and Result
The analysis of the ARB token airdrop distribution yielded significant findings that highlight the effectiveness of the Octan Reputation Score (GRS) in qualifying users for airdrops.
The figure above showcases the distribution of ARB tokens across 558,339 receiving addresses, encompassing 99.98% of the eligible addresses. The distribution is segmented into eight main groups based on the amount of tokens airdropped, ranging from 625 tokens to 10,250 tokens. Notably, 14.69% of non-zero externally owned accounts (EOAs) received the airdrops, with a concentration of higher GRS scores observed in the medium and experienced partitions.
Furthermore, a positive correlation emerges between the number of airdropped tokens and the corresponding GRS, accompanied by a decrease in the number of wallets. Interestingly, the group with the highest number of wallets receiving airdrops tends to exhibit lower average amounts of airdropped tokens and GRS scores.
Intriguingly, a strong resemblance is observed between the distribution of Reputation Rankings and the distribution of airdrop recipients, as depicted in the figure. It is worth noting that certain groups, such as the zero-RS wallets and the uncertain EOA group (comprising 892,356 wallets, accounting for 20.1% of all EOAs), along with a portion of the low-RS group, did not receive any ARB airdrops. This alignment between Reputation Rankings and airdrop recipients further underscores the validity and accuracy of the Octan Reputation Score in identifying eligible recipients for airdrops.
Additionally, the table provided demonstrates that the average GRS, transaction count, degree, indegree, and outdegree of the airdropped addresses are higher than those of non-zero EOAs.
These findings provide compelling evidence that the Octan Reputation Score scheme is suitable for effectively classifying ineligible wallets (EOAs) in the context of airdrop campaigns.
Future Assessments and Enhancements
In future reports, we will examine the activities and global reputation scores of airdropped wallets to assess their activeness and contribution within the Arbitrum Ecosystem post-ARB token airdrop. This assessment will provide insights into their retention and engagement, further demonstrating the effectiveness of GRS in enhancing user participation.
Conclusion
The case study on utilizing Octan Reputation Score for airdrop verification demonstrates its potential to verify eligibility, improve token distribution efficiency, and enhance user engagement. The Reputation Score serves as a valuable metric for qualifying users and fostering a trustworthy and credible Web3 community.
To delve into the full details and comprehensive insights, read the complete report.
Follow Octan’s official channels today for a deeper understanding of how Octan Reputation Score can revolutionize airdrop campaigns and enhance user experiences. By following Octan, you can also stay updated on the latest developments and gain valuable insights into the future of Web3 data analytics.
