Airdrops can commonly rack up gas fees in the thousands. Token multisender apps then add their own service charges to the mix, making airdropping very expensive. This is often a barrier to entry for smaller projects looking to enter the crypto world as they are unable to afford high service charges on top of expensive gas fees.
Some pricing models do not benefit the user
One of the primary reasons airdrops can be so expensive is flawed pricing models. Other multisender DApps usually tend to charge a set fee per batch transfer and in many cases the fee can be hundreds of dollars.
For instance, a popular multisender application charges 0.5 BNB per batch on the BSC network. Pricing per batch means that the number of addresses being airdropped to does not matter, so that even just 2 addresses would cost the 0.5 BNB fee.
Now, you may be wondering why anyone would use a multisender application to airdrop tokens to just 2 addresses. Well, it can be done unintentionally. For example, if 102 addresses are uploaded and the multisender distributes the token to a maximum of 50 addresses at a time, the list of 102 addresses would be split up into 3 batches. The first 2 batches would have 50 addresses and the third would have 2 addresses. If the user signs the third transaction without realising, then they will have paid 0.5 BNB to send their token to just 2 addresses. This hardly seems fair.
Things to consider when choosing a multisender
Our advice is to avoid multisenders that charge a set fee per batch transfer because there is clear evidence that some multisender tools are not optimized very well to reduce the number of batch transfers required to complete an airdrop. In other words, the number of wallet addresses that can be batched into a single transaction could be much higher than some multisenders set the size to be.
To illustrate the point, our team ran a test on the Ethereum Kovan Testnet with a dummy token that we deployed called "Honesty Token" and a list of 10,000 wallet addresses. Using some popular multisenders revealed questionable insights. We ran the test on 3 separate platforms which we shall name Multisender A, Multisender B and Multisender C. It's also worth noting that we used the same token and the same list of addresses across all multisenders to make the test as fair as possible. We also ran the same test on Crypto Multisender and we found that our platform can split the list into just 15 batches, as shown below.
Moving on, let's compare our results to those of our competitors who charge a set fee on a per batch basis.
As can be seen in the image below, the 10,000 addresses were split up into 37 batches (22 more than Crypto Multisender). This is around 270 addresses per batch. The multisender from the image below charges 0.09 ETH for each batch transfer. If this were on the Ethereum Mainnet, this would cost 37 x 0.09 ETH = 3.33 ETH in service fees alone. Though since this can be done in 15 batches, the cost could be reduced to 15 x 0.09 ETH = 1.35 ETH.
For Multisender B, the list of 10,000 addresses was split into 37 batches (22 more than Crypto Multisender). Furthermore, this multisender charges 0.03 ETH per batch transfer, which works out to be 1.11 ETH in service fees. However, as previously mentioned, it is possible to do this in 15 batches which would reduce the cost to 15 x 0.03 ETH = 0.45 ETH.
Multisender C is the worst one in terms of splitting up the list into batches as this platform split the list into 50 (35 more than Crypto Multisender). Having said that, it is also better priced that Multisender A and Multisender B (but still much more expensive than Crypto Multisender). The price displayed in the image below is the price for the Kovan network. However, the price per batch on the Ethereum Mainnet is 0.015 ETH. This works out to be 0.75 ETH in service fees. Once again though, since this can be done in 15 batches, the cost could be reduced to 15 x 0.015 ETH = 0.225 ETH.
With the above in mind, you can now make a more informed decision on which multisender you choose to distribute your token. If the multisender of your choice charges a set fee per batch transfer, we strongly recommend that you compare the number of batches the multisender sets to the number of batches that other multisenders set, in addition to the price per batch. You can very easily save quite a bit of your hard-earned crypto by simply doing this 5-minute task. However, we believe that charging a set fee per batch transfer is almost always the least cost-effective pricing model for you, the user.
Building a fairer pricing model
On Crypto Multisender, the pricing model implemented works in a completely different way to batch transfers - one that is much fairer than other examples in the market. The model does not charge a set fee per batch transfer. Instead, it charges a small fee per wallet address. So now let's go back to the previous example and assume we are using the Binance Smart Chain network.
With our system, if a user provides a list of 102 addresses for a token that can be batched up into a maximum of 50 addresses per batch (so 3 batches), the user would be charged for 102 addresses which is only 0.029 BNB instead of 1.5 BNB.
In addition to this, the fee per wallet address is so small in comparison to other multisenders that in many cases, users of our platform would not even require a VIP membership to complete their airdrop in a cost-effective way. To put this into further context, the cost of a VIP membership on our platform is by far the cheapest on the market, especially our lifetime memberships.
Finally, there is an end to spending large amounts of your hard-earned money to airdrop your token.
Interested to find out what it would cost you in service fees if you choose to use our token multisender? Then check out our service fee calculator on our pricing page.