This program is designed to invite users to participate in staking Ethereum (ETH) while earning rewards in the form of tokens and other digital assets.
Not only interesting, this campaign also succeeded in increasing the total value locked (TVL) of Swell Network to become one of the largest in the decentralized finance (DeFi) ecosystem.
Through a campaign that started in May 2023, Swell Network managed to achieve an initial TVL of $31,000 (Rp. 480 million) and continued to grow to $2.3 billion (Rp. 35.65 trillion) within one year.
This airdrop program is now in the spotlight of market players because of the potential for large profits and an innovative reward system. Here's a full review of the SWELL Voyage Airdrop analysis.
What is Swell Network and swETH?
Imagine you own Ethereum and want to lock it up to get additional profits, such as interest on bank deposits. Swell Network allows users to stake ETH and receive a named replacement token swETH .
These swETH tokens can grow in value over time and also be traded or used for liquidity in the DeFi ecosystem.
What makes Swell interesting is the additional incentive in the form of “pearls” (points) for users who actively participate. These points can later be exchanged for Swell tokens or other prizes in their ecosystem.
Voyage Campaign Details
Voyage launched on 24 May 2023 and lasts until 30 July 2024. The main goals are:
- Increase TVL : Users are encouraged to stake and strengthen liquidity.
- Increasing Long-Term Participation : Rewards are given to consistent and active users.
- Developing Community : Referral program helps expand the ecosystem.
- DeFi Expansion : Ensure swETH is adopted by DeFi platforms.
How to Get Pearls
There are 3 ways to get Pearls in the SWELL airdrop. The following is the explanation:
Like swETH : Every user who stakes ETH and receives swETH will earn 20 pearls .
Hold swETH : The longer and larger the amount of swETH held, the more pearls are collected.
Liquidity in DeFi : Users who provide liquidity on platforms such as Balancer or Aura will get more pearls.
At the end of Chapter 1 this campaign, Swell Network's TVL jumped from $31,000 (Rp. 480 million) to $80 million (Rp. 1.24 trillion). This growth continues in Chapter 2 , who introduced a referral program and new rules to prevent abuse.
At the end of the campaign, Swell Network's TVL reached $1 billion (Rp. 15.5 trillion) , with the biggest spike occurring in December 2023 to January 2024, as the crypto market strengthens.
Swell City: Voyage Advanced Phase
Campaign Swell City , starting at August 1, 2024 , being the next phase to maintain user engagement and increase TVL. This campaign introduces new mechanics such as wavedrops and loyalty boosts .
Restaking ETH : Users who restake ETH will receive rswETH tokens and get an additional 30 pearls per token.
Wavedrops : Users can exchange black pearls which they collect into SWELL tokens every 10 weeks. Users who participate in multiple consecutive wavedrops can earn bonuses of up to 60% .
Loyalty Bonus : Users who have not withdrawn their assets since the last snapshot on 30 July 2024 will receive a loyalty bonus of 30% on the next wavedrop.
Campaign Analysis and Impact
Swell Network has demonstrated tremendous potential in increasing TVL through innovation in staking and liquidity. At the time this article was written, TVL Swell was still experiencing fluctuations, following Bitcoin and ETH price movements in the crypto market.
For example, the recent drop in Bitcoin prices contributed to the decline in TVL Swell. However, with sustainable reward strategies such as wavedrops and referrals, this campaign still has the potential to increase TVL higher.
What Can Investors Learn?
For investors, following programs such as Voyage and Swell City could be an interesting opportunity to earn SWELL tokens for free via airdrop. However, they need to consider transaction fees on the Ethereum network, including gas fees . For example:
Minimum participation : Staking 1 ETH ($2,000 or IDR 31 million) will cost around IDR 155,000 per transaction.
Moderate activity : Staking 10 ETH ($20,000 or IDR 310 million) and providing liquidity can cost up to IDR 930,000 in gas fees.
Maximum participation : Staking 100 ETH ($200,000 or IDR 3.1 billion) with various DeFi activities will require gas fees of up to IDR 4 million.
In addition, users are advised to stay active and take advantage of the various incentives offered to get maximum results.
Is Swell Worth Following?
Campaign Voyage And Swell City shows how innovation in staking and community can drive huge growth in the world of DeFi. By continuously increasing engagement and providing attractive incentives for users, Swell Network has become an important player in the global crypto ecosystem.
For investors and new users, this program can be a valuable opportunity to take part in airdrops and earn profits through staking. However, crypto market volatility and transaction costs remain factors that need to be considered carefully.
With the launch of new features in Layer 2, Swell is ready to continue its expansion. For those already involved, the journey in the world of Swell has just begun. Will TVL Swell break new records again? Let's just wait.
