Liquidium Airdrop and Future Seasons: A Guide for Users
Oct 8, 2024
An overview of Liquidium's token distribution events and how users can participate and benefit.
Liquidium is a decentralized finance (DeFi) protocol built on Bitcoin, allowing users to borrow and lend BTC using assets like Ordinals and Runes as collateral. A key component of the Liquidium ecosystem is the LIQUIDIUM•TOKEN, which serves both governance and utility functions. This guide provides an in-depth look at the Genesis Airdrop, the points-based rewards system, and how users can participate in future seasons to earn tokens.
The Genesis Airdrop
In July 2024, Liquidium initiated the Genesis Airdrop, distributing 10% of the total token supply—equivalent to 10 million LIQUIDIUM•TOKENs—to early users and certain Ordinal communities. This event aimed to reward those who actively participated in the platform's early stages.
Details of the Genesis Airdrop
Eligibility Criteria: Users with more than 1,000 Liquidium Points by the snapshot date (July 21, 2024) received at least 400 tokens. Those with fewer than 1,000 points were allocated 200 tokens.
Distribution to Ordinal Holders: Specific Ordinal communities, such as OMBs, Quantum Cats, and Pizza Ninjas, received 117.42 tokens for each eligible Ordinal held.
Purpose: The airdrop aimed to distribute governance power among active users, promoting decentralized decision-making within the Liquidium ecosystem.
Earning Liquidium Points
Liquidium has implemented a points-based rewards system to encourage ongoing participation. Both lenders and borrowers can earn Liquidium Points through their activities on the platform, which can later be converted into LIQUIDIUM•TOKENs at the end of each season.
How to Earn Liquidium Points
Lending Activities: Lenders earn 100% of their points immediately upon initiating a loan.
Borrowing Activities: Borrowers receive 10% of their points at the start of the loan and the remaining 90% upon successful repayment.
Example: For a loan of 0.1 BTC, the lender would earn 10,000 points immediately. The borrower would earn 1,000 points at the outset and an additional 9,000 points after repaying the loan.
Referral Program: Users can earn additional points by referring others to the platform. For every new user who joins via a referral link, the referrer receives 10% of all the points the new user earns.
Converting Points to Tokens
At the end of each season, Liquidium allocates a specific number of tokens to be distributed based on the total points earned by users. The process is as follows:
Total Points Calculation: All points earned by users during the season are summed up.
Proportional Token Distribution: Each user’s token reward is proportional to their points relative to the total points earned by all users.
Example: If a total of 5 million points were earned across all users and you earned 10,000 points, your token reward would be calculated as:
Your Share of Tokens = (Your Points / Total Points) × Total Tokens Allocated
Calculation: (10,000 / 5,000,000) × 1,500,000 tokens = 3 tokens
Seasonal Rewards and Future Airdrops
Liquidium operates on a seasonal cycle for its point-based token rewards. Each season lasts two months, during which users can earn points to be converted into tokens at the season's end.
Seasonal Schedule
Season 1: July 21, 2024, to September 21, 2024.
Season 2: September 21, 2024, to November 21, 2024.
Season 3: November 21, 2024, to January 21, 2025.
Each season has an allocation of 1.5 million LIQUIDIUM•TOKENs, which are distributed to users based on their point earnings during that period.
Benefits of Holding LIQUIDIUM•TOKENs
Holding LIQUIDIUM•TOKENs provides users with several advantages on the Liquidium platform:
Governance Participation: Token holders have voting power to influence platform updates and changes.
Fee Discounts: Users can enjoy reduced platform fees based on the number of tokens they hold.
Holding 4,000 tokens reduces platform fees from 20% to 16%.
Holding over 8,000 tokens lowers the fee to 15%.
Lending Incentives: Lenders may receive a larger share of the interest from their loans, potentially increasing their yields.
The Role of LIQUIDIUM•TOKEN in the Ecosystem
The LIQUIDIUM•TOKEN serves multiple functions within the Liquidium platform:
Utility Token: It unlocks premium features and benefits for users.
Governance Token: It enables holders to participate in decision-making processes affecting the platform's future.
Incentive Mechanism: It encourages active participation through rewards and benefits tied to token holdings.
Conclusion
Liquidium offers various opportunities for users to engage with the platform and earn rewards through token airdrops and seasonal point conversions. By participating as a borrower or lender, users can accumulate Liquidium Points, convert them into tokens, and take advantage of fee discounts and other benefits. With multiple seasons planned, users interested in the platform's offerings may consider participating to earn and utilize LIQUIDIUM•TOKENs.
Getting Started
For those interested in participating, more information can be found on Liquidium's official channels. Engaging with the platform during active seasons allows users to earn points and be part of upcoming token distributions.
This guide is intended to provide factual information about Liquidium's airdrop events and reward mechanisms. Users are encouraged to conduct their own research and consider their individual circumstances when participating in DeFi platforms. US citizens are not allowed to claim tokens due to regulatory reasons.