The much-hyped Flare airdrop has come and gone; price has been pumped and dumped

The flare airdrop has ended. The token price has been pushed and dumped, like with most airdrops. Flare Networks began airdropping FLR coins to XRP holders on January 10. Those who qualified had to have possessed XRP at the time of the December 2020 snapshot.

Low Flare Airdrop Rewards Cause Commotion, FLR Price Dumps 72% in a Week

Customers received FLR from participating exchanges. However, the payouts were lesser than planned. Furthermore, on the day of the airdrop, the token reached a high of $0.15. Only a week later, it dropped 71.5% to $0.042.

the-much-hyped-flare-airdrop-has-come-and-gone-price-has-been-pumped-and-dumped

FRL/USD 4-hour chart | Source: TradingView

There are presently 12 billion tokens in circulation out of a total supply of 100 billion. Furthermore, FLR is still issued monthly over 36 months to individuals that wrap or delegate their tokens for protocol governance purposes.

Aside from criticisms that exchanges like Coinbase and Bitstamp are not issuing the tokens, the incentives themselves have been called into question.

Flare has already been dubbed a Ponzi scheme by certain cryptocurrency YouTubers. Others have remarked on the token’s low incentives and tight timeframes.

On January 17, the Flare Community Twitter account confirmed and explained the poor awards. Furthermore, it claimed that we are currently at the commencement of a 3.5-day epoch, with prizes accruing throughout.

The rewards will increase as the epoch goes but will return to zero at the conclusion. It was also stated that only delegation prizes are currently being distributed. There will be no more airdrops until FIP-01 votes on the distribution mechanism.


Aside from criticisms that exchanges like Coinbase and Bitstamp are not issuing the tokens, the incentives themselves have been called into question.

Flare has already been dubbed a Ponzi scheme by certain cryptocurrency YouTubers. Others have remarked on the token’s low incentives and tight timeframes.

On January 17, the Flare Community Twitter account confirmed and explained the poor awards. Furthermore, it claimed that we are currently at the commencement of a 3.5-day epoch, with prizes accruing throughout

The rewards will increase as the epoch goes, but will return to zero at the conclusion. It was also stated that only delegation prizes are currently being distributed. There will be no more airdrops until FIP-01 votes on the distribution mechanism.

One participant complained about the 15% airdrop and the rest being drip fed in response to a post by Flare co-founder and CEO Hugo Philion.

Nobody will receive more than 35% to 45% of the rewards by delegating the 15% FLR airdrop over the next three years, they claim, adding: “With FIP.01, screenshot time XRP holders getting cheated by Hugo Philion. They offered XRP to FLARE 1:1 ratio airdrop, while they distributed 1:0.15 ratio.”

Additionally, FTSOs (Flare Time Series Oracles) will get “billions of Flare for fees and dump on investors,” they added. “Flare entities will also dump Billions of FLR along with each reward cycle.”

Flare is a platform for smart contracts in the Ripple XRP ecosystem. Only a week after airdropping FLR coins, it appears that network participants are already agitated.

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