Open Dollar to Airdrop 300k+ Tokens Targeting Arbitrum Community

Open Dollar to Airdrop 300k+ Tokens Targeting Arbitrum Community

A new lending protocol - Open Dollar - will airdrop 300k tokens to 78k+ wallets ahead of its own Arbitrum mainnet launch. Open Dollar introduces innovations like tradable NFT loans and a decentralized stablecoin, while minimizing governance centralization. The protocol targets active Arbitrum and DeFi users to bootstrap community ownership. With novel concepts and leveraging Arbitrum’s surging ecosystem, Open Dollar could see strong adoption following its wider initial token distribution.

To qualify for Open Dollar's upcoming airdrop of 300,000 governance tokens, you must fall into one of these categories:

  • Testnet users of the Open Dollar protocol
  • Reflexer Finance vault creators or users
  • Holders of at least 100+ delegated Arbitrum tokens
  • Early users of Arbitrum CDPs
  • Participants who delegated any amount on Arbitrum and took part in Arbitrum DAO

If you meet any of the above criteria, connect your wallet to Open Dollar's Tally page starting today to confirm you will receive a portion of the 300k tokens. Distribution will occur around January 17th, 2023 leading up to Open Dollar's mainnet launch.

Open Dollar co-founder Joseph Schiarizzi says “Everything we’ve built is an iteration on what has worked in DeFi during the bear market. The rise of Liquid Staking Tokens signaled the users’ desire to passively earn rewards by staking tokens. Combining this with NFTs brings a secondary market for tradable loans to DeFi for the first time, with the benefits of all the great NFT infrastructure that has been built in the last few years.

Arbitrum Solidifies Lead Among Layer 2s With Over $2.5B Locked

Arbitrum has seen tremendous growth as a Layer 2 scaling solution, now holding over $2.5 billion in total value locked (TVL) - 3 times more than its closest competitor, Optimism. This massive amount of value demonstrates that Arbitrum has become the go-to L2 for developers looking to build high-throughput DeFi applications while leveraging Ethereum's security.

Arbitrum's developer community and ecosystem also continue to expand at a rapid pace. The protocol recently attracted Celo, a mobile-focused decentralized platform, which decided to use Arbitrum as the primary L2 solution for its expansion to Ethereum. With major projects like Celo launching on the network, Arbitrum is cementing its position as the top Layer 2 protocol.

Given its substantial lead in TVL among L2s and continually growing roster of top-tier DeFi projects launching on the platform, Arbitrum is well-positioned for even further growth in 2024. The protocol seems poised to increase its dominance as the preeminent L2 scaling solution for Ethereum over the coming year. As more developers tap into the benefits of building on Arbitrum, TVL and adoption is likely to surge.

Airdrop Details

The Open Dollar protocol is distributing 300,000 governance tokens to over 78,000 qualifying users through an upcoming airdrop. This initial distribution aims to jumpstart Open Dollar's DAO operations by placing governance tokens in the hands of active community members.

The airdrop specifically targets early adopters on Arbitrum and other platforms in order to drive participation in Open Dollar's governance once the mainnet launches. Users who delegated over 100 Arbitrum tokens or interacted with Arbitrum/Ethereum DeFi protocols like Lido, Reflexer Finance, or DodgeDX are eligible.

Starting today, prospective recipients can confirm their eligibility for Open Dollar's governance token airdrop by connecting their wallets on the protocol's Tally page. This allows users to verify they will receive tokens before Open Dollar's mainnet launch.

With wider initial distribution to engaged community members, Open Dollar hopes to build an active, decentralized governance structure for its lending platform and minimize centralized protocol control. The airdrop marks the first step toward building an effective and participatory DAO.

Schiarizzi, a longtime Solidity developer whose smart contracts he’s contributed to have supported $5B of volume also remarks “In 2020 the glory days of DeFi were on Mainnet, now adoption has shifted to the more efficient L2s, where we've chosen to build the next-generation of stablecoin technology. Arbitrum was the most obvious choice to build on and we want to give users another option for a stablecoin that is secure, protected, and minimally governed”.

Future Development

Following its mainnet launch, Open Dollar plans to pioneer new innovations in decentralized finance by building the first marketplace for trading collateralized debt position (CDP) loans. This tradable loan concept is made possible by Open Dollar's Non-Fungible Vault structure, allowing CDPs to be represented by unique NFTs.

The Open Dollar team has already made progress on this novel secondary loan market by applying for a grant from Lido, a leading liquid staking protocol. This grant would specifically support developing infrastructure to trade CDPs backed by staked Ether (wstETH) from Lido on Arbitrum.

By combining NFT representations of loans with liquid staking tokens, Open Dollar's tradable CDP platform unlocks new opportunities like earning staking yields while leveraging Ethereum assets. This showcases Open Dollar's plans to keep innovating within decentralized finance using bleeding-edge concepts.

After pioneered tradable loans, Open Dollar expects further adoption from the secure loan issuance model and the ability to earn yields while borrowing. As the first to bring CDP loan trading to DeFi, Open Dollar is poised to make an impact with its continued development on Arbitrum.

My Opinion

By limiting centralized control and putting ownership directly into the hands of engaged community members, Open Dollar’s model represents a major step forward for sustainable, participant-driven DAOs. The airdrop campaign targeting active DeFi users also shows a commitment to grassroots, permissionless governance.

In my experience, most DAOs struggle with participation and maintaining an active voter base after the initial hype dies down. But with no insider control of the treasury or parameters, Open Dollar incentivizes the community to get involved to ensure future growth and equitable policies.


With its upcoming lending protocol and stablecoin built on Arbitrum, Open Dollar stands to gain from the rapid growth of the leading Layer 2 platform. By combining innovations like Non-Fungible Vaults and liquid staking, Open Dollar taps into the cutting edge of Ethereum DeFi to introduce new tradable loan opportunities.

Tradable CDP loans and a decentralized stablecoin backed by staked assets represent the next evolution in decentralized finance. Open Dollar allows users to access features like customizable loan terms while still earning staking yields. This unlocks new potential use cases not possible with traditional lending platforms.

After a wide initial governance token distribution via its 78,000-user airdrop campaign, Open Dollar seems well-positioned for adoption. Putting ownership and control into the hands of community members from day one will allow Open Dollar to build an engaged base of users and governance participants.

As Arbitrum continues its ascent in 2024, Open Dollar's lending innovations make it one of the most promising DeFi protocols leveraging the secure and scalable benefits of Layer 2. By combining Arbitrum's growth with its own design, Open Dollar looks primed for a successful launch and a new era of tradable loans.

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