Bounty campaigns: new token distribution method

[MrSpasybo 1049]

Since 2017, bounty campaigns have been one of the traditional and effective ways for projects to promote ideas, create communities and potential users/investors. As far as I know, tens of thousands of people, or even hundreds of thousands, are doing bounty hunters as part-time jobs to generate extra income.

 

Normally, projects running a bounty campaign will pay project tokens to hunters because tokens are generated from the air and this helps to increase the number of token holders. However, amid rising transaction fees on the Ethereum blockchain, many projects have been delaying token distributions and this frustrated hunters, who moved from project support to anti-project. And so the bounty campaign had the opposite effect on the community.

 

Even for BSC with lower transaction fees, about $1 compared to $3-5 on Ethereum, conducting tens of thousands of transactions cost the project tens of thousands of dollars, which can be used to conduct a small bounty campaign to promote project.

 

So I think we can find a solution to this problem. One of the ways is being done by Sofico Bounty Manager. This is not a promotional topic for Sofico, it just offers a new way that bounty hunters can ask Bounty Manager to do if projects want to delay token distributions to avoid costly transaction fees.

 

This method is very simple: take advantage of the exchange's internal transaction fees.

 

That is, instead of sending token to hunters personal wallet, project sends token to the hunters' account on an exchange where token has just been listed. This has several characteristics:

+ Waiting time: quite long, 2-3 months for token to be listed on an exchange. This time can be shortened if the project conducts IEO;
+ Procedure: a bit more complicated because hunters need to fill out a crawl form after token is listed. The project also needs to link to an exchange;
+ Cost: very cheap because tokens are easily sent from an account on the exchange to other accounts;
+ Benefits: project avoids high transaction fees, exchange has new users, hunters conveniently liquidate the rewards from the campaign. They also save on transaction fees, don't need to send tokens from wallet to exchange.

 

What do you think about this? Will this new token distribution method be applied more by bounty managers in the future? And is there a more efficient and plausible approach that we can propose or apply?

[Syedbesharat 5423]

The method you have explained is quite good where the fee cost would be very much low and bounty hunters get easily token the project would save good amount of funds and the process will quick. All they have to do the coin listing and bounty hunters already registered their. This would help in coin price control. This would give project more adoption with IEO and project will not gonna suffer because of bounty hunters selling coins. Out some restriction on hunters account like 50% available for now and 50% after 1 month. 

[MrSpasybo 1049]

On 4/19/2021 at 12:14 AM, Syedbesharat said:

The method you have explained is quite good where the fee cost would be very much low and bounty hunters get easily token the project would save good amount of funds and the process will quick. All they have to do the coin listing and bounty hunters already registered their. This would help in coin price control. This would give project more adoption with IEO and project will not gonna suffer because of bounty hunters selling coins. Out some restriction on hunters account like 50% available for now and 50% after 1 month. 

@Syedbesharat Yeah, the majority of new projects chose to conduct IEO instead of ICO and the payment of tokens to the hunters' balance is reasonable and optimal.
The problem only arises when some hunters from some country cannot access that exchange. If so, in the first place, they can refuse to participate in that bounty campaign or use VPN change software ^^
Transaction fees will no longer be an issue for projects when paying the promised rewards, even with projects on TRON or BSC.

[MrSpasybo 1049]

16 hours ago, Else dor said:

The method you described is quite good, as the fee cost will be very low, and bounty hunters will be able to obtain tokens quickly. The project will save a significant amount of money, and the process will be quick. All they have to do now is list the coins, and bounty hunters have already done so. This will aid in coin price stabilisation. This will increase project acceptance with IEO, and the project would not suffer as a result.

@Else dor Yeah, I hope that bounty managers can read this topic and suggest this to project teams. Bounty hunters will not have to wait too long or waste gas to transfer tokens to exchanges. Projects also save money for faster product development.