GMO, a Japanese cryptocurrency exchange, has recently announced its plans to airdrop Songbird (SGB) tokens to traders who held XRP in 2020. The exchange will deposit the Yen equivalent of 0.1511 SGB for every 1 XRP held as of December 12, 2020. This move aims to keep users satisfied and maintain a positive relationship with the trading community.
Songbird: An Experimental Blockchain for Flare Network
Songbird is an experimental blockchain developed for the Flare Network. Initially, Flare aimed to become a decentralized finance (DeFi) application that utilized XRP tokens. However, the project gradually transitioned into a layer 1 blockchain. On December 12, 2020, snapshots of XRP on blockchains and exchanges were taken, and holders were expected to receive both Flare’s FLR and SGB airdrops.
Delayed Airdrop Plans Due to Ripple’s Court Case
Ripple’s ongoing court case with the U.S. Securities and Exchange Commission (SEC) has caused significant delays in the airdrop plans. After nearly a two-year wait, FLR tokens were finally distributed to XRP holders, while the SGB airdrop faced even more delays. Some exchanges deemed holders residing in Japan as “not eligible for this airdrop” due to local laws and regulations.
GMO’s Decision to Issue Songbird Airdrops
As one of the few regulated cryptocurrency exchanges in Japan, GMO has decided to issue Songbird airdrops to Ripple holders in the form of Japanese yen. This approach allows the exchange to maintain compliance with local laws while still providing benefits to its users. The exchange will distribute the Yen equivalent to eligible accounts by September 29, 2023.
Eligible customers are those who held physical Ripple (XRP) in their company account as of 9:00 AM on Saturday, December 12, 2020. The quantity of Yen distributed will be based on a snapshot of Ripple (XRP) converted into Japanese yen using an arbitrary method and time.
Impact on XRP Holders and the Cryptocurrency Market
GMO’s decision to airdrop Songbird tokens in the form of Yen to XRP holders is likely to have a positive impact on the cryptocurrency market in Japan. It demonstrates the exchange’s commitment to supporting its users and maintaining a healthy trading environment. This move could also encourage other cryptocurrency exchanges to follow suit and provide similar benefits to their users.
Additionally, the distribution of Songbird tokens may increase interest in the Flare Network and its experimental blockchain. As more users become aware of the project and its potential applications in decentralized finance, it could lead to increased adoption and further development of the Flare Network.
Conclusion
In conclusion, GMO’s decision to airdrop Songbird tokens to XRP holders in the form of Japanese yen is a positive development for both the exchange and its users. It showcases the exchange’s commitment to supporting its users while complying with local regulations. This move is likely to have a positive impact on the cryptocurrency market in Japan and may encourage other exchanges to provide similar benefits to their users. As the Flare Network and Songbird project continue to develop, the distribution of these tokens could also generate increased interest and adoption within the decentralized finance space.
