Ether.fi announces airdrop, will adjust token allocation following community complaints

Ether.fi, the largest liquid withdrawal protocol on Ethereum, has announced plans for the upcoming airdrop of governance tokens.

The token, called ETHFI, will have a total supply of 1 billion tokens, with an initial circulating supply of 115.2 million tokens. The first phase of the airdrop, titled Season 1, will release 6% of the total token supply and will cover behavior until March 15. Season 2 will release 5% of the remaining tokens and cover behavior from March 15 to an unspecified future date. The remaining tokens will be distributed between investors, partnerships, core contributors and the protocol’s treasury, according to the terms of the protocol. tokenomics distribution.

Ether.fi gave one variety of criteria to qualify for airdrops, including owning eETH, referring a friend to the protocol, or participating in the protocol’s Early Adopter Program. “Whale wallets” will have to wait 3 months to claim their tokens, while smaller wallets can claim it immediately, according to Ether.fi’s announcement.

Following the announcement, community members noted that Justin Sun, the controversial founder of TRON, would apparently receive almost 3.5 million tokens from the initial allocation of 60 million tokens after depositing 20,000 eth. two days ago, show blockchain data.

Following widespread complaints on the part of Ether.fi’s community members, Ether.Fi founder Mike Silagadze announced on Discord that more tokens would be dropped to community members, with details to follow. Silagadze also defended Sun’s allocation, to write“Just because someone came in with a huge deposit doesn’t mean we’re going to change and screw up the rules for them. We appreciate Justin’s support and will respect the rules of the campaign we’ve put in place.”

Powered by the EigenLayer recovery protocol, Ether.fi has locked up a total value of over $3 billion. according to to crypto data platform DeFi Llama, a value that is more than twice that of its nearest competitor. Ether.Fi recently announced $27 million in venture capital funding, split between a SAFE and a Series A, The Block previously reported.