Airdrops as Extras Another token distribution mechanism that has gained popularity in token projects is TokenAnalyst looked at 20 popular ICOs from 2017 and found that their token Airdrop - a “free” distribution of tokens to a network of select wallets. The economic distributions across wallets were fairly centralised. On average, the top 10 wallets rationale behind the airdrop is that it increases the user base and populates the hold 60% of the tokens (50% market cap weighted average). Those wallets are network prior to launch. The data for 2018 shows that a third of all completed sales mostly owned by the project teams, exchanges, and pre-sale investors. This announced airdrops in addition to their token sale. percentage is high relative to Bitcoin’s 6% and Ethereum’s 11% ownership across top 10 wallet addresses. A handful of projects even used airdrops as a replacement for a public sale after they raised a large private round. The long term efficacy, as well as the regulatory position of airdrops is still uncertain - but they remain a strong marketing tool for generating communities around a project. BITCOIN TOP 10 Holders Width of Distribution 11- 100 Biggest Holders Token centralisation remained a primary topic of focus from a risk and valuation ETHEREUM Rest of Users perspective. Most Centralised Biggest Tail of Distribution 0,00 % 25.00% 50.00% 75.00% 100.00% Gnosis Icon Source: Fabric Ventures analysis Airswap OmiseGo MKR Numeraire Civic REQ Status Quantsamp Github activity analysis MANA EOS Tron ZRX Time to fundraise from Github creation Aragon Golem REQ VEChain Looking at time interval between a project creating its Github repository and ZRX Aragon launching its (public) fundraising, we can see that more than half of analysed Bancor Digix Dao projects (57%) created the code repository just 3 months or less before token Quantstamp Bancor sale. Golem Civic FunFair FunFair OmiseGo Status 60% Total ICOs % Numeraire MANA 57% Digix Dao Airswap EOS Tron 40% Icon MKR VEChain Gnosis 28% 20% 0,00 % 20.00% 40.00% 60.00% 80.00% 100.00% 0,00 % 20.00% 40.00% 60.00% 80.00% 100.00% Percentage of tokens held Percentage of tokens held 9% 7% 0% TOP 10 Holders 11- 100 Biggest Holders Rest of Users Over 12 months 6-12 months 3-6 months Less than 3 months Source: TokenAnalyst analysis of 20 popular token projects as of May 2018 Source: Fabric Ventures analysis 24 25