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What was 1st bitcoin faucet?When Bitcoin came to be, many of you are aware of the first sale that being a Delivery Pizza paid for with 10000 Bitcoins. That would have been nice if you were that pizza delivery professional, huh? But the advent of the “faucet” was not far behind and is just recently getting its well-deserved recognition in the history of the Bitcoin revolution.
Like why and what is a faucet? The term faucet is used because Bitcoin faucets even by today’s standards deliver meager amounts for menial effort. The use of giving away small amounts of Bitcoin does serve several purposes. It brings traffic to the domain site that is giving away this valuable commodity. Back in 2011 when Bitcoin was trading (selling) for around .08 cents as of July 2011 (note: It did increase in value that year by 900% and closed in December at $2.00 per coin) and it also raises the awareness of the coin. Two very important functions of these strategies. Raise awareness and drive traffic.
Even today, in fact, more so, the faucets are not only becoming main stream but also becoming a major factor in introducing new emerging coins.
Gavin Andresen is a software developer best known for his involvement with bitcoin. He is also known for inventing the first coin faucet and the name as well.
Originally a developer of 3D graphics and virtual reality software, he became involved in developing products for the bitcoin market in 2010, and was declared by Satoshi Nakamoto as the lead developer of the reference implementation for bitcoin client software after Satoshi Nakamoto had announced his departure. In 2012 he founded the Bitcoin Foundation to support and nurture the development of the bitcoin currency, and by 2014 left his software development role to concentrate on his work with the Foundation.
When Gavin first introduced his landmark free Bitcoin faucet in 2011, little did he know he would spur a huge cottage industry. From the scams of the Russian faucets, to established long-term faucets like freebitco.in, coin distribution and awareness have been driven in part by this new industry, simply by giving away small amounts of valuable coins for just visiting, and a series of qualification submissions then verified (to prevent robots) simple captcha action.
Today's multi-faceted faucet systems have matured to the point where intense evaluations have delivered well organized semi-automated platforms with documented recorded and live training making it possible for the entry level penniless novice, with great determination, discipline, and patience the potential of producing literally millions of dollars in a matter of a few years. Case in point:
If you had been so perceptive and fortunate to have been aware of Gavin Andresen’s Bitcoin faucet that was paying out 5 coin per captcha (remember back then 5 Bitcoin represented .40 cents) If you had been determined and processed that faucet just 2 times a day for 1 year (assuming the faucet limitations permitted like today’s faucets do) you could have earned 3,650 coins. At the time worth only about $292. But with foresight and understanding, holding on to those coins for just 2 years would have yielded (Bitcoin grew to over $1000) about $3,650,000.
Fast forwarding to today and making historical assumptions with the projected value of Bitcoin come 2020, many projectionists, experts and market makers predict Bitcoin reaching as high as $1 million dollars.
Our recent analysis has shown with aggressive determination and borderline obsession one can achieve about .5 – 1 coin per month with today’s faucets. That would be 24 coins by 2020 and based on these assumptions; a person could literally earn over 24 million dollars.
This understanding makes it clear why faucets have become mainstream and have grown major successes in the cottage industry like the 2-year-old company known as Faucethub.
A centralized advanced faucet system(s) with a secure API based wallet (to eliminate fees) for micropayments has created a portfolio of literally 100s of third-party faucets and has made the developer of the Faucethub system very successful with an active network of 1.2 plus million Faucet Heads (the culture of obsessed people doing menial task for meagre results).
His system has been responsible for making others wealthy and extreme supporters of the crypto counterculture.
2017 was the year a new coin giveaway occurred called Airdrops. Similar in results, many new crypto companies traditionally launched by selling their soon to be coins called tokens at perceived deep discounts, thereby raising literally millions upon millions of dollars before even beginning the development phase, I am sure you have heard the bad press of many of these ICOs just being nothing more than exit scams, making many investors victims and losing millions of dollars in this new wild west crypto culture. That being said, the expected results are many countries particularly the United States coming down hard on the ICO launches, with huge costly legal requirements, filings and regulations.
This is to be expected with any new industry but has hit the crypto industry particularly hard. Therefore the mother of invention always a close associate of the entrepreneur, has given birth to the Airdrop. The concept being similar to the faucet, the Airdrop is designed for several reasons. First is to bring awareness the new company, organization, platform, what have you. Many Airdrops have launched major success, like OmiseGO. Dropping 75 million coins with a site registration and ether wallet requirement, the airdrop has been extremely successful with the coin now trading at around $15 per coin in less than a year
Article by
Thomas Prendergast
Markethive Founder
http://twitter.com/markethive
