The IOTA side project Shimmer (SMR) wants to increase its presence in the decentralized finance (DeFi) sector with an airdrop worth USD 1 million. But the rules for participation are tough.
Shimmer (SMR), launched by IOTA as a side project in fall 2022, has been rather quiet of late. Shimmer is currently trading at around USD 0.035, only around 10 percent above its all-time low, and in view of IOTA’s big plans for 2024, doubts about the future purpose of SMR are certainly justified. Shimmer now wants to herald a turnaround and is announcing an airdrop via a blog post in which 1.5 percent of all SMR, currently worth a good USD 1 million, will be distributed to participants.
The campaign starts today, Wednesday, at 3 p.m. German time and participants will be rewarded with the Shimmer Airdrop in the second half of March and in April. However, the conditions for getting SMR for free are somewhat complicated and not without controversy. Decide for yourself:
1. to qualify for the SMR Airdrop, you must contribute at least 1,000 US dollars in liquidity to the Shimmer EVM. However, you cannot do this with Shimmer or IOTA itself, but only via one of the following cryptocurrencies: Tether (USDT), USDC, Wrapped Bitcoin (WBTC), Ethereum (ETH), Polygon (MATIC), Avalanche (AVX), Binance Coin (BNB) or Fantom (FTM).
2. you must deposit your crypto funds into the EVM via the Shimmer Bridge here and apply them to one of these three DeFi projects: ShimmerSea, TangleSwap or Swapline. More Shimmer EVM DeFi projects will follow in the coming days.
3. you must register your participation in the Shimmer Airdrop here on the Tide campaign page. You will then receive a free NFT that will allow you to track your actions in the Shimmer EVM over the coming weeks.
4. because the 1,000 US dollars or more in crypto you contribute must remain in smart contracts that contribute to the TVL of the Shimmer EVM for at least 30 days.
5. whoever contributes more money and/or leaves more than 30 days in the Shimmer EVM will be rewarded with more SMR later. Settlement will take place on March 16th and then four groups with different rewards will be formed through the airdrop. Basically, more TVL input and more time will increase the Shimmer Airdrop Bonus, which will be paid out in stages over six weeks.
6. if you have already fulfilled the conditions through the Shimmer Bridge before today, you should, according to the announcement, only have to complete step 3 and then become eligible to participate.
Conclusion: Shimmer Airdrop – PR number or chance to win?
DeFiLlama currently measures around 12 million US dollars TVL in the Shimmer EVM, which means it is a “distant second” in the competition in the DeFi segment. The SMR airdrop is therefore primarily intended to attract new capital and new users. But whether the value of the Shimmer allocated to you in March and April will exceed the potential gains elsewhere through the crypto brought in remains an open question. The campaign can also be seen as an attempt to bring more liquidity into the ecosystem now, when IOTA itself plans to go live with the EVM in March or April. In any case, it is advisable to study all the small print of the Shimmer EVM airdrop before committing yourself.