Sybil Airdrop Activity, also known as Airdrop farming, has deeply infiltrated the Crypto world, causing significant setbacks for numerous cryptocurrency projects that have airdropped tokens to supposedly legitimate users. This setback arises as many recipients possess multiple wallets, prompting them to swiftly sell off the tokens. This end up affecting the tokonomics and progress of the project.

Sybil Airdrop Activity involves participating in an airdrop opportunity with multiple accounts, contrary to the ideal scenario where each participant engages with just one account to garner genuine feedback.

Detecting or linking multiple accounts to a single user poses a difficult challenge. With different devices and social accounts, users with multiple accounts can easily escape detection. Today, alternate accounts are created with varying names to prevent association with the primary account.

The decentralized and safer solution to combat Sybil Activity lies in Verifiable Credentials. Adopting a Verifiable KYC approach would significantly diminish Sybil Activity as credentials submitted by each account would undergo verification.

Recently, LayerZero introduced a 14-day window for individuals engaged in multiple farming of their token to come forward and receive 15% of their initial allocation. While this initiative aims to mitigate token distribution to multiple accounts, many such users may still evade detection.

KYC approach may raise concerns, but they represent the most effective approach to rewarding genuine users and curbing Sybil's activities. The advantage of verifiable credentials lies in zero-knowledge proof, ensuring that the recipient only verifies the authenticity of the credential without accessing specific details.