LayerEdge Faces Major Backlash Over EDGEN Airdrop Favoritism

The LayerEdge (EDGEN) project has recently come under intense scrutiny from its user community following a controversial airdrop campaign on Binance Alpha. 

Complaints center around a lack of transparency, unfair token distribution, and favoritism toward Binance Alpha users over early project supporters.

LayerEdge Airdrop Labeled “Worst in History”

LayerEdge (EDGEN) is a token built on a decentralized network. It leverages Bitcoin’s security layer to address blockchain scalability issues. The project was officially listed on Binance Spot through Binance Alpha on June 2, 2025.

Shortly after the LayerEdge airdrop was rolled out, the user community expressed disappointment on the X platform. A post from Dcryptopioneer highlighted the harsh sentiment shared by a significant portion of users:

The dissatisfaction didn’t stop there. Another X user, BearEarn, revealed that participants in Binance Alpha with 223 points received 1,111 EDGEN tokens.

However, despite securing 500 referrals and creating numerous promotional posts for the project, they only received 875 tokens.

Similarly, the account mr_cbillionaire emphasized that eligible Binance Alpha users received at least 1,111 EDGEN tokens. At the same time, most genuine testers were allocated fewer than 500 tokens.

This highlights an unfair airdrop token distribution that disadvantages long-term contributors to the project. The community feels neglected and disrespected by the LayerEdge team, particularly as the project appears to prioritize Binance Alpha users over early supporters.

Binance Alpha: A Controversial Model in the Airdrop Ecosystem

LayerEdge isn’t the only target of criticism. Binance Alpha’s operational model has also faced significant backlash. Binance Alpha employs an Alpha Point system to evaluate user activity, determining eligibility for events like Initial DEX Offerings (IDOs) or token airdrops.

However, this system has been criticized as costly and unfair to early users and core project communities, while also encouraging unhealthy trading behaviors solely to “farm points.”

A post on X from phunacen90 criticized the Binance Alpha model, arguing that it creates inequality and undermines the community spirit in the DeFi space.

Other community members echoed this sentiment, noting that Binance Alpha participants received more tokens than those who “farmed” the project.

This fuels discontent and raises doubts about the transparency of projects partnering with Binance Alpha, including LayerEdge.

This lack of transparency erodes user trust and raises questions about LayerEdge’s long-term sustainability. In the increasingly competitive DeFi market, failing to build community trust could spell a “slow death” for any project, even those with strong potential.