Airdrop

We're planning an airdrop of 190,500,000 S to incentivize users of both Opera and the new Sonic chain.

The first major components of our airdrop are Sonic Gems and the Sonic Boom bounty program.

Opera

The Sonic Foundation acknowledges and remains grateful for the loyal community that has supported Opera in the years since its inception.

We're allocating a percentage of our airdrop to users engaged on Opera. Some of the historical activity held in high regard includes (but is not limited to) the following:

● Liquidity providers (LPs) across a range of apps ● Historical validators and delegators ● Opera Multichain bridge affected wallets ● Liquid staked token (LST) holders, such as sFTMx, beFTM, and ankrFTM ● Opera NFT holders, marketplace users, collection creators, etc. ● Miscellaneous Opera protocol usage and participation

Sonic

While we want to reward Opera users for their loyalty and dedication, we're acquiring new users on Sonic with a focus on TVL, transactions, and significant ecosystem development/growth for early Sonic apps.

Airdrop incentives for Sonic could look like:

● Liquidity providers (LPs) across a range of Sonic apps ● Staking/validating on Sonic ● Liquid staked token (LST) holders ● Verified contract deployers with high gas consumption ● Audience activation campaign and quest participants ● Miscellaneous Sonic protocol usage and participation ● Users who have bridged funds to Sonic

Distribution

We've designed a unique linear decay mechanism that introduces game theory to address the challenging nature of airdrop incentives on an active chain. Specifically, this airdrop requires a strategic design to minimize abrupt dislocation of circulating supply in short periods, which we believe a linear decay and burn solves.

The airdrop model utilizes a unique burn factor that encourages recipients to increase activity on-chain while awaiting their preferred exit burn. Further, it penalizes (through burning) those who do not wait for the full maturation of their airdropped position. For those who chose neither, there will be a marketplace to trade their underlying S airdrop allocation to speculative buyers.

On the first day of an airdrop, 25% of a user’s allocation will be liquid, while the remaining 75% will be vested over 270 days as NFT positions. Sonic users can claim this 25% portion immediately and have the flexibility to decide when to claim their final allocation. The graphic below illustrates the burn amount. Users who choose to hold their NFT but wish to trade it on a secondary marketplace are free to do so.

Burn amount of the remaining airdrop allocation if claimed early

Burn Amount and Examples

Day	Burn Amount
0–30	100%–88.9%
31–60	88.9%–77.8%
61–90	77.8%–66.7%
91–120	66.7%–55.6%
121–150	55.6%–44.4%
151–180	44.4%–33.4%
180–210	33.4%–22.3%
211–240	22.3%–11.2%
241–270	11.2%–0%

Example A

Andrew earns 1,000 S in the Sonic airdrop. Andrew can claim his 25% liquid allocation at any time and receive 250 S in his wallet. 90 days pass and Andrew returns to the claim portal, deciding he would like the rest of his airdrop. As 90 days have passed by, he can claim 249.75 S tokens (33.3 of the remaining 750 token allocation) but must burn 500.25 S (66.7% of his locked allocation).

Example B

Bob earns 10,000 S in the Sonic airdrop. Bob can claim his 25% liquid allocation at any time and receive 2,500 S. Bob is excited to use his S in the ecosystem and decides he would like all of his eligible airdrop allocation after day 30. Bob claims again (the final 75% portion), receiving 1,110 S and burning 6,667.5 S (88.9% of the final portion).

Data Collection

We have engaged OpenBlock and Sentio to manage and oversee our points and airdrop designs through data-backed decision-making.

OpenBlock’s data-driven incentive modeling platform powers over $2B in annual incentive spend and has been a leading provider of rewards design and efficacy analysis for leading protocols in the space including EigenLayer, Lido, Linea, Mode, Arbitrum, Solana, Sui, and many others. To initiate and sustain its ecosystem, Sonic will utilize OpenBlock’s incentive modeling frameworks, ensuring continuous and balanced growth for all actors in the system.

Sentio is an industry-leading indexing service that aids in streamlining continuous point tracking, helping retrieve historical states of all user positions to update user points upon every interaction. With its high-performance database infrastructure, engineered to handle queries at unprecedented speeds, Sentio enables the onboarding of tens of thousands of new users easily and efficiently.

Legal Provisions

As part of the Sonic Foundation’s research and commitment to this airdrop, we have sought legal opinions to ensure its success.

The program will likely need to exclude any sanctioned country or person including all those who are citizens or residents of or residing in (the “Restricted Countries”): Belarus, Burundi, Central African Republic, Congo, Cuba, DPRK (North Korea), Guinea, Guinea-Bissau, Iran, Iraq, Lebanon, Libya, Mali, Myanmar (Burma), Republic of South Sudan, Russia, Somalia, Sudan, Syria, United States of America, Ukraine, the Crimea, Donetsk, and Luhansk regions of Ukraine, Venezuela, Yemen, or Zimbabwe.

These potential provisions may include:

● Geoblocking: Implementing geo-blocking measures for all restricted countries; ● Self-declaration: Requiring participants to say they are not from one of the restricted countries; or, ● Discretionary exclusion: The Sonic Foundation reserves the right to exclude any wallet address at its sole discretion.

There will be a comprehensive set of terms and conditions provided at the program’s launch.