Loading cryptocurrency prices...

Sonic’s Airdrop Sparks User Backlash, $85M in Deposits Exit

Sonic Faces Backlash After Controversial Airdrop Leaves Many Users Empty-Handed and Triggers Massive Withdrawals

  • Sonic distributed over 80 million tokens in its first season airdrop on July 18, but many users reported ineligibility despite earning points.
  • The airdrop led to a withdrawal of more than $85 million in deposits following user dissatisfaction.
  • Users accused the project of unclear or unfair allocation methods with multiple public complaints and confusion about point systems.
  • Sonic, originally known as Fantom, rebranded and implemented a new points and NFT system to revitalize user engagement.
  • The team did not address community concerns about the airdrop, but announced plans for a second season.

Sonic, a layer 1 blockchain formerly called Fantom, completed the first phase of its airdrop on July 18, distributing over 80 million Sonic tokens to users. Many participants soon raised concerns, claiming they were denied eligibility for the airdrop despite having completed tasks and accumulated points as instructed.

- Advertisement -

Following the airdrop, users withdrew more than $85 million from the platform, according to DL News estimates. Some well-known contributors expressed disappointment on social media, suggesting that the airdrop process failed to reward active and long-term ecosystem participants.

Airdrop recipients found that only 25% of tokens could be immediately claimed. The remainder will vest over 270 days in a digital NFT format. Users can redeem these tokens earlier, but would forfeit a portion depending on the duration of holding the NFT. Many users said the platform’s points and NFT-based reward system created confusion. “The Sonic airdrop has to be the worst I’ve ever seen,” said Poyo, an Avalanche ambassador, in a comment on social media. Other users reported earning millions of points or holding whitelisted assets but receiving no tokens in return.

Originally launched as Fantom in 2019, the blockchain grew popular for decentralized finance (DeFi) projects before experiencing a sharp drop in user deposits after a 2022 peak. In a move to revive activity, the project’s team rebranded to Sonic Labs and announced a multi-season airdrop totaling 190.5 million tokens. They introduced points and NFT-based campaigns—such as the Sonic Arcade, which awarded points via mini-games, and a partnership with Galxe that rewarded users who collected “Sonic Shards” NFTs.

Despite campaign launches and a rise in deposits earlier in 2025, Sonic saw deposits fall nearly 50% from its May peak to $580 million at the time of the airdrop. After the airdrop announcement, deposits shrank by an additional $85 million.

- Advertisement -

The airdrop documentation indicated that users’ activities on both Fantom and Sonic would count toward their allocation, but multiple community members said this was not reflected in their reward. Agent Chud, a prominent user, reported that he received no tokens despite meeting eligibility criteria. The Sonic team has not addressed public complaints or provided additional information on the distribution mechanism. The project announced that a second season of the airdrop campaign is planned, but has yet to clarify current allocation issues. Since the airdrop’s completion, the price of the Sonic token has declined by 17%.

✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.

Previous Articles:

- Advertisement -

Latest News

Coinbase Adds Binance’s BNB to Listing Roadmap Amid Listing Debate

Coinbase has added Binance’s BNB token to its roadmap for potential listing.Online debate began...

MicroStrategy Shares Slip as Bitcoin Dips; Gold, Silver Rally

MicroStrategy stock fell as Bitcoin dropped below $110,000.MicroStrategy holds over $74 billion in Bitcoin,...

BTQ Unveils Quantum-Resistant Bitcoin Core, Shares Jump 20%

BTQ Technologies introduced Bitcoin Quantum Core 0.2, a version of Bitcoin designed to withstand...

Fed’s Barr Warns of Stablecoin Risks as Rules Remain Unwritten

U.S. regulators have not finalized rules for stablecoins, leaving the sector in a regulatory...

TSMC Profit Surge Lifts AI Chip Stocks; Nvidia, Intel Rebound

AI chip stocks rose after TSMC announced a 39% profit increase for Q3 2025. TSMC...
- Advertisement -

Must Read

What Is the Dencun Upgrade for Ethereum?

The Dencun Upgrade for Ethereum is poised to revolutionize the blockchain landscape, offering improved scalability, efficiency, and groundbreaking features. Set to launch at the...