After the December 11, 2020 snapshot done by Flare Network, they have finally announced how many Spark (FLR) tokens will be dished out for each eligible XRP holders. These users are those who transferred and held their tokens on participating cryptocurrency exchanges or wallets in anticipation of the airdrop.
It should be noted that after a period of a slump for XRP, its price finally rose since December started. This is because of the hype and anticipation for the long-awaited Spark (FLR) airdrop from Flare Network.
In a blog post, the Flare Network announced that they would be issuing around 46 million FLR tokens to people who had XRP in participating exchanges and wallets during the December 11 snapshot. Co-founder and CEO Hugo Philion also explained how the ratio for the airdrop was solved. The post had a long and complicated explanation for the ratio, but the bottom line is 1 XRP is equal to 1.0073 FLR tokens.
The formula they used basically calculated the amount of XRP that was eligible for the announced airdrop and was divided by the number of eligible participants. The formula also included three classifications for the tokens: XRP total is the total number of tokens in the snapshot, XRP Ripple are the tokens owned by the Ripple corporation, and XRP NPE are the tokens held on exchanges but not eligible for the FLR airdrop. The total XRP tokens was 99,990,822,918, with 54,172,271,587 tokens under XRP Ripple and 322,744.698 tokens classified as XRP NPE.
The reason behind this airdrop was to get people to pay attention to the coin by giving away free tokens. XRP has more or less remained as the third biggest non-stablecoin cryptocurrency in terms of market cap, with Bitcoin and Ethereum as first and second, respectively. And with their unique position, the airdrop got a lot of attention and traction.
However, the snapshot captured a large share from ineligible accounts. This may be from non-participating or corporate clients, with statistics saying that the top 100 accounts own around 66% of XRP. This number doesn’t necessarily represent the total number of holders eligible for the drop, as the exchanges have many other clients. Some of them may be Ripple staff or ineligible for other reasons, making them ineligible to receive FLR tokens once they drop.
Luckily, most users who kept their XRP on exchanges and major platforms supported the airdrop. Among these are Coinbase, Kraken, and Binance. Some wallets like Ledger also participated. People who held their XRP on these places should receive their FLR once the tokens arrive. However, independent XRP wallet holders would have to claim their FLR from Flare Networks.