While widely celebrated, large-scale airdrops like Ethena’s also raise important ethical questions for the crypto industry. One key consideration is the “fairness” of the eligibility criteria. While designed to reward real users, these criteria can sometimes inadvertently exclude smaller participants or those in developing regions who cannot afford to lock up significant capital. The environmental impact is another concern, as the frenzied on-chain activity leading up to a snapshot can lead to a spike in energy consumption on proof-of-work networks or even on proof-of-stake networks due to increased transaction load. Furthermore, the immense wealth generated for some recipients can create vast inequalities in a short period. Projects must consider these factors and strive to design distributions that are as inclusive and equitable as possible. The execution of the ethena airdrop was a step forward in transparency, but the ongoing conversation about the ethics of wealth distribution in the digital age is a crucial one for the industry to engage with thoughtfully.
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