Why I’m Bullish On DRIP

jaycesondon
6 min readJun 12, 2023

Hello Medium family. It’s been a while since I’ve written on the crypto market, and specifically one of my favorite crypto projects, DRIP. So what has been happening with DRIP?

The last time I wrote about DRIP, its price was about $5, down from an all-time high of close to $200. But, unbelievably, things got worse. DRIP’s price continued to fall, and at the time of writing, sits at $0.30. Ouch!

So what led to this dramatic fall in price. It’s simply a case of more people claiming and selling the token than people buying. The general downturn in the crypto market and debacles such as LUNA and FTX all contributed to the crypto market, and ultimately, DRIP’s malaise.

For those not familiar with DRIP, the project is an ROI dAPP that pays 1% per day in DRIP on the number of DRIP you hold. This 1% is paid regardless of DRIP’s price. DRIP has been in existence for over two years, and people have built up large balances over this time. Simple mathematics tells you that the number of DRIP being claimed each day will rise as more people buy and deposit DRIP into the faucet. As more DRIP is claimed, more selling will take place. This will drive the price down unless it is offset by rising buys and deposits.

A DRIP max wallet pays around $60 a day at current prices. Not life changing money for most people but still a decent payout. What is amazing though is that at a price of a few cents people can still make money from DRIP. People with multiple max wallets can still do quite well with DRIP, even at this low price.

What’s the Future for DRIP

Despite the fall off in DRIP’s price, the community is still very active and confident of DRIP’s revival. Developers, led by the hard working Forex Shark, have continued to build on DRIP. A new and improved user interface was rolled out less than two weeks ago. This new UI has a bridge feature which allows investors to buy DRIP from other major blockchains such as Ethereum, Polygon, Arbitrum and others. Prior to this new interface DRIP could only be bought on Binance Smart Chain. Fiat onramp is in the works. Once completed, it will allow investors to buy DRIP directly using a credit or debit card.

The new UI also brings the DRIP Garden, which is another DRIP project, directly onto the DRIP website. The DRIP Garden used to be accessible from the Animal Farm’s (a DRIP sister project) website. It is still accessible from the Animal Farm but the DRIP website will be its new home.

And then there is DDD.

DRIP DROP DRAW

What makes me most excited about DRIP’s future is DRIP DROP DRAW, or DDD for short. DDD is a game developed by DRIP that has the potential to boost price by increasing buys and deposits. DDD is a lottery-type game where players can win large amounts of DRIP by depositing or sacrificing DRIP. The game is designed in such a way that more DRIP will always be deposited into the faucet or burned than is paid out to players. This will likely result in buy pressure and a rise in DRIP’s price.

Specifically, DDD is designed to:

a) Increase Drip locked in the Faucet;

b) Reduce or stop inflation/minting;

c) Deflate circulating supply;

d) Increase Reservoir liquidity;

e) Increase players’ Drip deposits

An amazing feature of DDD is that 99% of all DRIP generated by the system goes back to the faucet. Purchases, sacrifices and winnings are all deposited to the faucet. This should serve to reduce circulating supply and potentially lead to a rise in price.

How DDD Works

DDD players get tickets at $1 BUSD per ticket by sacrificing DRIP, BUSD or BNB. BUSD and BNB used to purchase tickets will buy DRIP which will be deposited into the faucet. To incentivize fresh capital injections, bonus tickets are awarded to those who enter with BUSD or BNB and the highest amount of Bonus Tickets are awarded to Sacrifice entries.

Sacrifice means players give up their DRIP, BUSD or BNB. DRIP from sacrifice goes directly to the tax vault, as opposed to deposited DRIP which goes to the players’ wallets. By incentivizing sacrificers the hope is that more players will sacrifice which will reduce circulating supply and send more DRIP to the tax vault. These are all bullish actions.

DDD will have six rounds each day, with seven prize categories each round. Winners will be as follows:

1) First prize

2) Four runners up

3) Biggest depositor prize

4) Biggest sacrificer prize

The jackpot for each round will comprise:

1) 14% of earnings from deposits

2) 24% of earnings from sacrifices

3) 10% of previous round’s earnings rolled over

DDD’s goal is to reduce DRIP supply and increase DRIP’s price. Winners cannot sell their winnings immediately. Winnings are deposited into players’ wallets, and they get it back out at the rate of 1% a day. Nobody can win and dump like some DEFI games allow.

The DDD whitepaper has a couple simulations of what DDD can accomplish. Using a conservative 10% participation rate from the 150,000 active DRIP wallets with each player contributing $1 BUSD, the top prize payout would be 1,500 DRIPs per round and 153,500 DRIPs sent to the faucet each day. This example ignore sacrifices of DRIP, which would also go to the faucet. As this example shows, DDD does have the power to take DRIP to a new level. More optimistic examples show millions of DRIPs being deposited to the faucet each day.

These are just projections and no one knows how DDD will perform once launched. Many people seem to think this will be a game-changer for DRIP and the DEFI world, and there have been some pretty large DRIP buys in recent weeks, as the excitement for DDD heats up.

The DRIP team is putting the final touches on DDD, and it is expected to launch any day now. Many people are expecting a fast rise in DRIP’s price once DDD launches, but I differ in this regard. I expect a modest rise in price initially, followed by faster increases once people see DRIP is rising and understands how DDD works and what it can do. People will refuse to buy a token when it is at its all-time low, but will jump in once the price starts to rise. That pattern is likely to be played out with DRIP again.

Right now there are about 12 million liquid DRIP in people’s wallets. As the price rises some of these people will sell, which will make it a little harder for the price to rise initially. Once this initial wave of selling is over, we could see a dramatic rise in price as supply will be low and buyers will have to compete for the limited supply.

A feature of DRIP which makes it so compelling is that it does not need a high price for you to make great money. If DRIP gets to $5, a max wallet will pay about 200 DRIPs after taxes, depending on how advanced the wallet is. Wallets with more claims will pay less as whale taxes kick in the more DRIP is claimed. That’s about $1,000 a day for a max wallet, or $30,000 a month. That would get you in the top 5% of earners in the US.

Most other ROI dAPPs have either failed or the developers have rug-pulled. DRIP has stood the test of time, and although the price is down big time, the potential for it to rise is certainly there. The developers continue to build on DRIP, and that is good for DRIP’s future. The general feeling is that DRIP could be about to take off again. Only time will tell, but the original ROI dAPP does not seem to be going anywhere soon, and DRIP should be around for quite a while.

If you enjoyed the article and wants to join any of these projects, consider using my referral links. I offer airdrops and tips to those who sign up using my referral links. Please reach out to me if you have signed up under any of my links so you can get your airdrops.

DRIP

My buddy address is:
0xaa776eCB9DC2AC8248D79647aC699B173b39cab9

Elephant Money

My Partner address is:
0xCA5051060d8F3e5dE574Eabe533f9A9C2B7F324E

This article is for information and educational purposes only, and nothing stated herein is to be construed as investment advice. Neither the author nor the publication takes any responsibility or liability for any investments, profits, or losses you may incur as a result of this information. Please do your own research and due diligence before making any investment decisions. The author has made every effort to ensure accuracy of the information in this article, but makes no representations or warranties, expressed or implied, to its accuracy, completeness, timeliness, or correctness. The author may own cryptocurrencies discussed in this article.

--

--

jaycesondon

Accountant (CPA), equity research analyst and crypto enthusiast.