Scroll Airdrop Causes $170M Decline in TVL: What Happened?
Scroll, a Layer-2 Ethereum network, has seen a sharp drop in its Total Value Locked (TVL), losing $170 million since its peak on October 16, 2024. The TVL surged significantly before the airdrop snapshot for Scroll’s native SCR tokens, scheduled for October 19. According to DeFi analytics platform DefiLlama, Scroll’s TVL jumped from $838.05 million to $995.75 million between October 9 and October 16—a nearly 20% increase.
However, the TVL has since dropped to $824.82 million, showcasing the volatility that can accompany airdrop farming in the crypto space. While airdrops may temporarily increase liquidity as users try to qualify for token rewards, they often fail to foster long-term user retention. Once the airdrop incentives end, participants frequently withdraw their funds, leading to a significant decline in TVL.
Discontent Grows Over Scroll Airdrop Strategy
Despite the excitement leading up to the Scroll airdrop, some users have voiced dissatisfaction, especially within the Binance community. Many claim that a large portion of the rewards was unfairly allocated to insiders. Crypto trader Anon Vee expressed frustration over the team retaining 23% of the token supply and distributing large amounts to team addresses, commenting, “Scroll team is so greedy!”
This dissatisfaction highlights a broader issue with airdrop farming: it attracts short-term capital, but those users often withdraw once the rewards are distributed, leaving a diminished TVL. For long-term supporters, this strategy can feel unfair as the influx of new users dilutes their rewards.
Although the Scroll airdrop aimed to generate excitement and attract new users, the backlash from loyal participants suggests it may have backfired, alienating the community it intended to reward.
#ScrollOnBinance #ScrollCrypto #scrollairdrop
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Scroll, an Ethereum Layer-2 network, has experienced a dramatic decline in its total value locked (TVL), shedding $170 million since reaching its peak on October 16, 2024.

The TVL rose sharply ahead of a highly anticipated airdrop snapshot scheduled for October 19, designed to distribute its native SCR tokens.

According to data from DeFi analytics platform DefiLlama, Scroll’s TVL skyrocketed from $838.05 million to $995.75 million between October 9 and October 16—a remarkable increase of nearly 20%.

However, this surge proved to be short-lived, with the TVL dropping to $824.82 million as of now.

The swift rise and fall of Scroll's TVL highlight a broader trend in the crypto space. While airdrop farming can temporarily boost liquidity as users rush to qualify for token rewards, it often fails to encourage long-term user engagement.

As a result, once the incentive dissipates, many participants withdraw their funds, leading to a significant decrease in TVL.
User Dissatisfaction Amid Scroll Airdrop Strategy
Despite the excitement surrounding the upcoming airdrop, some users are expressing dissatisfaction. Many believe that the Scroll team unfairly allocated a large portion of the airdrop rewards to insiders.

One crypto trader, known as Anon Vee, voiced frustration over the team retaining 23% of the token supply and distributing large amounts of tokens to team addresses, saying, “Scroll team is so greedy!”

The influx of liquidity typical of airdrop farming is characterized by short-term participants adding capital to qualify for airdrops. These users often withdraw their investments soon after, leaving behind a diminishing TVL and potentially alienating long-term supporters.

While the airdrop strategy aims to attract new users and generate excitement, it can dilute rewards for loyal participants, who may feel undervalued in the distribution process.

#ScrollOnBinance #scrollairdrop #ScrollEvolution #ScrollCrypto