Your Guide to DRIP in a Nutshell — What is DRIP and Why it works!

5 min readNov 24, 2021

This is intended as the briefest overview of the WHAT and WHY of the Cryptocurrency called DRIP. Is this the first true passive income?

Before we start here is a quick WARNING: never give out your wallet security/seed phrase. Never invest money that you can’t afford to lose. Always do your own research. This is Not financial advice.

The DRIP Token Network…

was developed by Forex_Shark, launched in April of 2021, and has experienced a high price of $58.88 (on the 16th of July ’21) and a low price of $2.03 (on the 23rd of May ‘21), at the time of publishing the value of DRIP is $20.36 and has been floating around this price for the last few weeks. The price is forecast to rise to around $90 over the coming years.

Edit in February of 2022: The token has already had a new All-Time High of nearly $200 in January and has settled at around $125, but is sure to take off again in the coming weeks as new projects linked to the Drip Network are released. (More on that coming soon!). And all this while the rest of the Crypto market was awash in Red!

Here is the main DRIP page and the DRIP Whitepaper is here.

DRIP is the Crypto that gives 1% daily for 365 days = 3.65x initial deposit

That’s right, you will receive 1% per day on your initial deposit, for 365 days. You don’t need to do anything, it just drips into your available balance. Not much more to say about it than that.

Initial deposit lost

It’s important to note that your initial deposit is locked up and lost to you forever, however, you will receive a payout on that amount at 1% per day for 365 days. So if you claim every day for 100 days (or wait for 100 days) you will have your money back, and still have a further 265 days of payouts… But, there is a better way!

The Power of Compounding Interest = 3,678% p.a.

If you actually compound your daily available DRIP payment instead of withdrawing it, you will get a 3,678% return on your investment!

On the first day you get 1% on your initial deposit of (for example) $100, the second day you get 1% of your $101, the third day you’ll receive 1% interest on $102.01, then on $103.0301 and so on…

So if you put in $100 and compound daily, you would end up with $3,678 in your account instead of only $365. Check the returns for yourself, my maths might not be perfect.

10% Taxes on each transaction — 5% on Compounding!

The way DRIP is able to sustain these 1% payouts per day is by taxing each transaction at 10%. So when you deposit DRIP you pay 10% tax, when you withdraw DRIP you pay 10% tax, but when you compound (or Hydrate) your deposit you only pay 5% tax.

In reality, this means you’re only getting .95% daily interest. So your true returns on that $100 investment would only be $3,053 rather than $3,678… Not bad though.

DCA

The price of DRIP tokens have risen and fallen over the months since launch, so in order to minimise your exposure to that price volatility, it’s a good idea to Dollar Cost Average (DCA), which simply means to invest a set amount of money at set intervals to Average out the Dollar Cost of the coin.

For example, you have $50 to invest per month, the first month you buy Drip for $30 each, the next month you buy for $25 each, the following month you buy for $35 each. Over the three months, your average cost for Drip is somewhere around $30 each, thus averaging out the cost. This way you don’t have to time the market at all, you simply invest and steadily grow your deposit of Drip.

At a certain point, you will be receiving more in payouts than you are able to comfortably DCA into the account, so you might want to start a new wallet and pay into that one instead. More on that below…

Join DRIP with a Buddy!

The DRIP network is built on a Buddy/referral system. You need a Buddy to join DRIP. This works for everyone because there are up-line and down-line benefits to being part of a team, not to mention the knowledge and support of others interested in the same area (Crypto).

If you need a Buddy to join the DRIP Community we’d be more than happy to have you join our team: drip.community/faucet?buddy=0x321c76e7649D3F334582355273C3e347f62D2E27

Or enter the following into the Get a Buddy box: 0x321c76e7649D3F334582355273C3e347f62D2E27

I joined Drip under Drip Players and am part of the admin team helping people in the Drip Players telegram group.

If you’d like to have your questions answered before joining DRIP, please join the Drip Players Telegram group and get personalised support.

Invite friends

DRIP Network has a built-in Buddy/referral system where you will receive rewards in DRIP when people you introduce pay into their account or hydrate. This includes your own accounts that you’ve signed up under your initial account. You need to hold a token called BR34P in your wallet to receive rewards. Read page 6 of the DRIP white paper for details on this.

There are also downline bonuses to join a ‘Team wallet’ which is essentially someone with 5 or more direct accounts under them.

MMP — Parent/Child wallets

MMP stands for Maximum Max Payout and refers to the hard maximum withdrawal amount from the DRIP contact per wallet, which is 100K DRIP tokens. Once this amount is reached your wallet has been exhausted. But well before you approach this level you can start withdrawing your DRIP and investing it in new wallets to increase the longevity of the DRIP contract and to ensure your future payouts and income! More on that in this DRIP Strategy guide (coming soon).

That’s it for this article. I hope I kept it as simple and clear as possible.

Here is Part 1 and Part 2 of ‘How to DRIP — Super Quick DRIP Guide’

If you have enjoyed this DRIP guide (and already joined the DRIP Community) you can show your appreciation by sharing some DRIP by airdrop to my Buddy address: 0x321c76e7649D3F334582355273C3e347f62D2E27

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