U.S. Citizens Lost Up to $2.6B in Revenue Due to Airdrop Geoblocking
Regulatory measures in the U.S. have led to significant financial losses for American crypto users and the government. Key findings from a report by venture capital firm Dragonfly include:
- U.S. citizens missed out on $1.84 billion to $2.64 billion in potential revenue from 2020 to 2024 due to geoblocking during major airdrops.
- The government lost an estimated $525 million to $1.38 billion in tax revenue from these blocked airdrop incomes.
- 11 major airdrops generated over $7.16 billion since 2020, with an average claim of $4,562 per eligible address.
- 5.2 million U.S. users have been affected by geoblocking, excluding those using VPNs.
- Years of regulatory uncertainty have driven startups offshore and increased legal challenges for larger companies.
The report emphasizes the need for clearer regulations to avoid negative impacts on innovation and economic growth in the crypto sector.