The official Arbitrum airdrop page crashed right after the claim process started around 9am EST. Some users still managed to claim it through alternative methods like Arbiscan. In the first two hours, the market witnessed a sell-off for the token, as its price declined from above $10.29 to a low of $1.
On ByBit, the token started trading at $7.50, but dropped to $1.50 in a matter of minutes. At the time of writing, the token was trading at $1.33.
Only one address successfully sold the token at $10.29 via the ARB/USDC pool on Uniswap, netting $64,340 for 6,250 tokens. A few others were able to sell for $4.50, however the price quickly fell below $1.50 as more sellers arrived.
Nansen’s data shows that of the 6.03 million ARBs claimed by “smart money” wallets, $5.01 million moved to a centralized or decentralized exchange, most likely sold. The analytics firm places “smart money” tags on addresses that trade at a significant size and are generally active.
While some smart money accounts added 3.45 million DEX. Overall, the amount moved to exchanges was 150% higher than inflows to wallets, suggesting a sell-off.
Bad claim experience for the average user
Aribtrum’s airdrop claim webpage crashed thanks to overwhelming user requests to claim ARB tokens. The page returned 404 and 429 errors, remaining down for over an hour after the claim process began.
However, some users still claimed the airdrop through alternative services like Arbiscan. The blockchain explorer witnessed a record number of visitors of more than 84,000 in the first 30 minutes after the claim window opened.
Nansen’s data shows that 15% of airdrop claims were processed when Arbitrum’s official website was down.
However, the claims through Arbiscan were not easy. The website also suffered from downtime due to traffic overload, leading to a poor user experience for many.
Arbitrum network insanely congested, Arbitrum website down, Arbiscan down
Everything will likely return to normal in the next few hours.
But crypto still has a long way to go before it’s ready for mass adoption.
— The DeFi Investor 🔎 (@TheDeFinvestor) March 23, 2023
The token claim window will be active for 184 days until September 24, 2023.
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