Love Letter From Tom & Patrick to Gary: Let Americans Have Their Crypto Airdrops

[target]

I am not really aware that American citizens are having a hard time and many maybe chose not to participate in airdrops because of the possibility of violating the security laws of the country. And because of this SEC should clarify this issues once and for all and must openly defend its position under the light of the day and not hide under its " regulation by enforcement" mentality. While not all airdrops are worth it, all people should be free to receive anything especially for free or under some conditions which mostly don't cost money. As one who is involved with cryptocurrency, I can a little bit lucky that am not based in USA and I am not under the power of that man named Gary Gensler, an enemy of this industry.

They are not having a hard time as I think you don't join airdrops mostly but I have been very active in joining airdrops and joined more than 200+ airdrops till Jan I know the numbers are low as there are more airdrops in the market but after April I kinda did not update my spreadsheet. Well, the thing is most of the airdrops don't allow US citizens to join their airdrops, it's not only with the USA there are other countries that are also on the ban list.

I also wonder sometimes why would they ban USA especially there might be some other reason behind the disobeying of SEC's law. They have also mentioned that previously SEC sued Justin Sun for airdropping money to people the founder is the one who got accused and has to face the problems so most of the projects even those based in the USA don't allow their citizens to claim airdrops or participate in airdrops. However, there are other ways to join airdrops for US citizens if they really want to.

I think airdrop plays an important role in attracting everyone's attention so that many people will look at the company. My thoughts are the same as yours, they don't have any trouble with airdrops but they don't use airdrops and they don't participate in airdrops. Airdrops can be said to be a company strategy to be known to everyone and this is widely done by crypto projects.

Seem to be the case if a company wants to be popular in a short period of time. There have been many of them doing this and then after a year they also migrate their token to another platform and them holders has to migrate the tokens with a ratio of 1000: x of tokens which makes it really bogus in the end, AAVE I believe did this.

Anyways, nothing stops a US citizen from participating airdrops. Unless the project asks for KYC and prohibits people from US.

[Faisal2202]

in the article it just says that it’s because of the lack of framework basically the rules are unclear and many Americans probably are trying not to get into trouble by doing something they’re not sure whether is allowed or not

in this case sec really should smooth out things about crypto so that everyone can follow what is written on paper and not walk on eggshells

That's what it really said and as well as I said.  They don't know if they are complying with the rules or not or why there is confusion here and in order to save themselves from this confusion they just do not allow US citizens to participate and those who allowed them are now facing charges and which is a lesson for newcomers to take.

I agree with you things should be made smooth thus people could really know if they are complying or not and there must be some kind of financial advice system from the SEC if there is none. From where people could discuss about some project's legal framework and get good advice.

[Faisal2202]

I think airdrop plays an important role in attracting everyone's attention so that many people will look at the company. My thoughts are the same as yours, they don't have any trouble with airdrops but they don't use airdrops and they don't participate in airdrops. Airdrops can be said to be a company strategy to be known to everyone and this is widely done by crypto projects.

I can't agree more with as airdrops are a good strategy for companies to get some real attraction and organic traffic in the most profitable and beneficial way but the companies trying to use airdrops to rug pull investors and scam people money are doing bad and giving it a bad image but I think ups and downs like these are also a good thing for the market.

They don't join these airdrops to save themselves but they can join them by changing their locations using VPNS or VPS but using paid ones is expensive and what if the airdrops you are farming did not give you any reward then you will lose the money you paid on VPS or VPNs

[ZAINmalik75]

I can't agree more with as airdrops are a good strategy for companies to get some real attraction and organic traffic in the most profitable and beneficial way but the companies trying to use airdrops to rug pull investors and scam people money are doing bad and giving it a bad image but I think ups and downs like these are also a good thing for the market.

They don't join these airdrops to save themselves but they can join them by changing their locations using VPNS or VPS but using paid ones is expensive and what if the airdrops you are farming did not give you any reward then you will lose the money you paid on VPS or VPNs

I agree with your statements the risk in joining airdrops by ignoring the restrictions from the governments can lead to great loss like the cost can be wasted to buy VPS and there are paid airdrops which require money to join them and to spend transaction fee to make on chain activity for example Linea has deducted huge transactions fee for its first campaign.

A doubt in the mind that either they will be selected by the airdrop organizers can demotivate them even if they can use VPN to overcome the problem.

[Faisal2202]

Seem to be the case if a company wants to be popular in a short period of time. There have been many of them doing this and then after a year they also migrate their token to another platform and them holders has to migrate the tokens with a ratio of 1000: x of tokens which makes it really bogus in the end, AAVE I believe did this.

Anyways, nothing stops a US citizen from participating airdrops. Unless the project asks for KYC and prohibits people from US.

I agree that KYC is a thing but I have seen projects even blocking our region and when I open them they detect my IP and block me from accessing the site so I just turn the VPN on and can easily access the site so the next problem is of KYC if they ask to do it. But most of the airdrops don't really ask for KYC.

There are plenty of projects which had done such things that AAVE did I mean these projects get investors and they and the investors both make money and then they leave the project and work on another this way they are making plenty of money they don't want to start a project for long term AFAIK if they will then the holders of their tokens won't sell their tokens as soon as the listing happens.

[Bobcrypto]

Even if the airdrops are scams you won't lose your money because participating is free, so what's the legal justification for the ban?

I disagree with SEC action towards airdrop. But as i stated above, some airdrop makes you do certain task which takes some time. So while you don't lose money, you lose your time. There's also risk of your email address or other personal data sold by them.

Well airdrops typically has some task to accomplish to get rewarded, airdrops without tasks are not common on the crypto space, i hardly noticed any airdrops campaign without carrying out certain tasks.
Again, air drops campaign that requires KYC is unnecessary and SEC should know that airdrops are free rewards for doing very little tasks like just retweeting a posts on Twitter and other social networks out there.

[bitterguy28]

Well airdrops typically has some task to accomplish to get rewarded, airdrops without tasks are not common on the crypto space, i hardly noticed any airdrops campaign without carrying out certain tasks.

it used to be common when the community is not as big before as it is now and there are too many competitors wanting to get free tokens

Again, air drops campaign that requires KYC is unnecessary and SEC should know that airdrops are free rewards for doing very little tasks like just retweeting a posts on Twitter and other social networks out there.

i do not see a lot of airdrops that require for kyc maybe because even they know that not a lot of people would be so willing to give their data to a project they are not even sure if will bear any fruit