The Inspiring Video
Today I saw a great video from “The Awakenment” regarding the benefits of EOS Airdrop model vs the ICO model, and in my opinion there is one more benefit that is missing and is an important one (if not the most).
You can see the video at this link:
** Note: Just for a quick reference I love “The Awakenment” videos, and I recommend you to follow, this is just my train of thoughts that was triggered by this video. **
Benefit 1: Wide Distribution
Kyle points out the level of wide distribution as the main benefit to do an Airdrop instead of an ICO. ICOs are normally done in a few weeks and the level of concentration and whales is huge, while and EOS Airdrop is leveraging on a 1 year distribution that has arguably the more fair distribution so far.
Airdrop models can be done also in Ethereum but in EOS the supporter VCs seems to understand more clearly that for their supported DApps to succeed the community needs to be involved.
Benefit 2: Legal Reasons
But I see one more reason, one additional benefit, and in my opinion on the pair or even more important than the previous one, is that the Airdrop model does not constitute a security, since the tokens are distributed for free.
This is the same reason why Bitcoin is not a security, the generation of tokens is not “charged” to anyone, but they are created by mining, and as you are not paying to any corporation or individual for the token you don’t have the same risk you have with ICOs where you are paying for a share of a future income or promise of benefit.
Here the legal binding is created between the VCs that are investing in EOS and the DApps, while the EOS token holders receive the tokens for free, so no legal binding between the DApp and the token holders arise, since they are not asking for money, tokens, or other cryptocurrencies.
This could lift up a big sword hanging over the the DApps necks, since they will not become a security and legal issues does not apply in such a case.
I’m not a lawyer but I have been thinking about this and it makes sense to me, not sure if I have any comments or opinions about this. Would love to here from you if what I’m stating here is correct and let me know if you find any other additional reason.
