DAOs frequently employ airdrops to reward active contributors, as this reinforces decentralized governance and aligns incentives. Airdrops can be distributed based on contributions such as proposal creation, voting participation, or community moderation. This strengthens the DAO by ensuring tokens go to individuals who have proven engagement rather than passive speculators. Some DAOs use reputation systems to calculate contributions, translating them into token rewards. However, the approach varies: not all DAOs prioritize contribution-based airdrops, and some rely more on staking or liquidity provision. To assess, one should examine governance records, token distribution histories, and DAO mission statements. Generally, DAOs that emphasize community-driven decision-making are more likely to favor contribution-based airdrops, reinforcing fairness and active governance participation.
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Bitcoin dominance reflects BTC’s share of total crypto market capitalization. Rising dominance suggests investors favor Bitcoin as a safer store of value, often during uncertainty or early bull phases. Declining dominance indicates rotation into altcoins, typically as risk appetite increases. Current dominance trends help signal where capital is flowing: higher BTC dominance suggests consolidation, while falling dominance may foreshadow an “alt season.” Observing dominance alongside stablecoin inflows enhances predictive power for market rotations.
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Higher difficulty raises marginal mining costs; if BTC price does not compensate, marginal miners may liquidate reserves to cover expenses or exit. Short-term, increased miner selling is possible during difficulty ramps, particularly among smaller operations. But efficient miners hedge, diversify revenue (fees, staking alternatives), or absorb temporary cuts. Large, entrenched miners often have longer horizons. Net selling pressure from difficulty increases is conditional on price, miner margins, and access to financing.
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