The Ultimate Guide to Crypto Competitions: Risks, Rewards and More
Competitions and giveaway contests are popular activities in the cryptocurrency space. Crypto competitions are a way for crypto projects and protocols to incentivize users and keep them engaged and motivated.
Competitions and giveaway contests are popular activities in the cryptocurrency space. Crypto competitions are a way for crypto projects and protocols to incentivize users and keep them engaged and motivated. New crypto projects would often hold crypto giveaway contests to entice early adopters. At the users’ end, these contests mean winning free crypto tokens, stablecoins and other digital assets. Plus, the gamification aspect makes them enjoyable.
Crypto competitions can come in various shapes and forms. For example, a new project can give away its native tokens, NFTs or other digital assets to people for promoting the project through a retweet or a referral program. The contest rules may vary, but the end goal is the same: winning something of utility.
Trading competition is a popular type of activity that renowned exchanges in the space like Binance, crypto.com, KuCoin would hold from time to time to reward their loyal users. For a new exchange, a crypto competition is a good way to bring in new traders.
Rewards You Can Expect From Crypto Competitions
There are no specificities as to what you can win from a crypto giveaway contest. The rewards can be anything from popular cryptocurrencies like BTC and ETH to native platform tokens. But which rewards would really add value to your overall experience? Would you participate in a crypto competition that rewards you with something that you don't really need? Maybe you are asking yourself which crypto items make the best rewards. Allow us to reveal them for you.
Crypto Tokens: Many crypto projects that have native tokens to run the platform economy would hold competitions to give them away for free. This is a strategy that drives mass adoption. At the users’ end, it means deploying these rewards to use the platforms’ several services. But are these services useful to you? To figure that out, before joining any crypto competition, understand the project well.
If you are an investor, such giveaway contests offer you a chance to expand your portfolio. You can hodl new altcoins by participating in several new promising project giveaway contests and reap the benefits later on.
NFTs: The demand for NFTs are growing by the day and with the emergence of Web3 and metaverse democratizing the way you access assets, NFTs are the current lingo of asset ownership. You may never know, but a new NFT that you own today may blow up tomorrow. Projects would often collaborate with NFT-based businesses and platforms to offer participants a new NFT. This, yet again, is another chance for you to expand your portfolio. Some contests may also offer you an opportunity to mint your own NFT for free. If you have a knack for art and creativity, getting a chance to mint an NFT without any upfront cost isn't a bad either.
Stablecoins: Stablecoins are pegged to a fiat currency. Therefore, they do not suffer from high-volatility like cryptocurrencies in general. You can either convert stablecoins to their fiat equivalents and deploy them in real life or add them to your crypto portfolio. Projects or cryptocurrency exchanges often give away stablecoins as rewards through competitions. C-trade is a cryptocurrency derivatives exchange that held a trading competition recently and rewarded 100 winners from a prize pool of 1,000,000 USDT. You can join such competitions too and get the chance to win big rewards in stablecoins.
Game Items and currencies: Some crypto competitions, especially those held in the blockchain play-to-earn space, reward participants with game currencies, in-game items and the likes. These are useful components that players use to advance in the game. Some game items and currencies have high market values and many would collect and sell them for a profit. So, entering a crypto competition that dabbles in game articles is also another option to earn valuable crypto for free. However, these competitions would usually work around gaming activities, so you must be comfortable with gaming.
Trading bonuses: Crypto exchanges also hold trading competitions to reward users trading bonuses or discounts on trading fees. So, if you are an active investor, a trading bonus is something that would benefit you. C-trade offers every new user who signs up a trading bonus worth $200.
Gift Cards: With crypto becoming more and more mainstream, e-commerce companies are partnering with projects to engage audiences in this space. So, you might come across a crypto competition that gives away coupon codes or gift cards as rewards. Winning an Amazon or an Apple gift card by participating in a crypto competition is not a bad deal right?
There are exchanges, like Paxful that support a real-time market for gift cards with ready buyers. A new DEX called GameStar Exchange will soon allow users to redeem their gift cards for cryptocurrencies. With such utilities, a chance to win gift cards is something you would want to keep a look out for.
Crypto Competition Risks You Must Avoid
There’s one rule to avoiding risk in the crypto space: never participate in a new project that asks you to deposit your funds. Now, you may ask what about staking competitions where putting up your own funds is the only way to earn bonuses? Well, if you do want to join a staking competition, make sure you are depositing funds to a trusted platform like one of these.
There are plenty of counterfeits in the space who would impersonate popular platforms or influencers to scam you off your hard-earned money. If you come across a post from a popular platform asking you to spend funds, before going ahead, check with their core team members and wait for their response. Before participating in a competition, read the participation rules and other details. Is it asking for anything that you might lose if things go south? If not, you can join without worrying about anything.
Best Crypto Competitions Out There
By now you might be wondering, with so many crypto competitions happening every day, and so many accounts to follow which are the ones you should be looking into. Don’t worry, we have created a list of platforms that actively run these contests to keep their users engaged. These are platforms you can trust and rest assured that you are not getting involved in anything fraudulent.
- Phemex - As one of the most popular and trusted crypto exchanges, Phemex runs exciting campaigns almost every fortnight and around events such as Valentine’s Day, Christmas etc. The more you participate in these contests the better your chances of winning something becomes. Phemex is one of those platforms where there’s something going on almost every day. Check the latest updates on their announcement page.
- Bybit - Bybit holds a crypto competition called World Series of Trading (WSOT) that takes place twice every year for its global audience. Early registration to this event may even win you extra bonuses and discounts.
- Binance - Trading aside, Binance is an account you must follow to get updates on the latest announcements around competitions. Being the largest crypto exchange, Binance offers some of the best price pools you would come across.
- eToro is a crypto trading platform that allows users to trade by mimicking other traders. It’s a great platform for new entrants to gain knowledge on crypto trading. eToro holds a monthly trading challenge encouraging investors from all around to trade and get rewarded in cash or popular cryptocurrencies like BTC, ETH, LTC etc.
- Coinbase: Coinbase, another trusted crypto exchange, holds sweepstakes, trading contests, giveaways every often to keep existing users motivated and lure new entrants. You can follow their Twitter handle to get updates on these contests and participate in one of them.
- C-Trade - C-Trade has a section dedicated to crypto Competitions on its website where you will find information on the latest contests that are running. C-trade holds trading competitions from time to time and offers some great rewards to its participants.
A crypto competition is an online game of sorts in which you can participate and potentially win prizes. Twitter is a great place to follow thousands of crypto projects and come across some exciting competitions. There are different types of crypto competitions, projects come up with, to engage users. Some will have you playing games, while others will ask you to compete with other traders. Some projects can also offer you gifts and incentives for becoming their best affiliates and so on.
The rules of each contest will vary depending on the platform hosting it. Read these rules carefully before participating. C-Trade is a derivatives exchange that runs competitions frequently and rewards new users for joining the platform. If you too want to reap the benefits, stay tuned to this page and follow C-Trade’s Twitter handle.
Disclaimer: The content in this article comprises personal opinions and should not be construed as containing personal and/or other investment advice and/or an offer of and/or solicitation for any transactions in financial instruments and/or a guarantee and/or prediction of future performance. C-Trade, its affiliates, agents, directors, officers, or employees do not guarantee the accuracy, validity, timeliness or completeness of any information or data made available and assume no liability as to any loss arising from any investment based on the same.