With the most valuable NFT collections under the Yuga Labs umbrella, Otherside metaverse land sales and launch of ApeCoin, what does this bring to the exponentially growing NFT space?
NFTs, however, make the goods unique in the sense that although anyone can have access to the pieces by downloading them or taking screenshots, they cannot be deemed as “owners” of the token. Basically, it is the certificate of ownership that one pays for, rather than the token itself. Unlike Bitcoin and other cryptocurrencies, where every coin is worth the same and one coin can be exchanged for another, each non-fungible token is one of a kind where its worth is also unique and exclusive.
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NFT Market Valuation and Future Prospects
Investment Bank Jefferies Forecast
The Booming NFT Art Sector
NFTs solved that issue by turning digital art into a luxury that can be owned exclusively, and more importantly, shown off. As most real-life art, and luxury goods for that matter, is often bought as a signal of social status, tokenized digital artwork is also purchased primarily for the ownership that it offers. Some NFTs also act as a token to a gated digital community of other holders — and one of the most popular communities is the Bored Ape Yacht Club (BAYC).
How Yuga Labs and Bored Ape Yacht Club Come Into Play
The Rise of BAYC
After launching in April 2021 with a mint price of 0.08 ETH and gaining popularity throughout the year, BAYC still hasn’t lost its steady footing in the first quarter of 2022. BAYC managed to flip CryptoPunks, which launched in June 2017, to become the most valuable NFT collection by market capitalization. Currently, the least priced collectible from Yuga Labs’ BAYC is valued at over $320K, or a floor price of 115 ETH. The collection consists of 10,000 NFTs in total, with a market cap of 1.46M ETH.
Play-To-Earn and Metaverse Ventures
In March 2022, Yuga Labs shocked the NFT world by acquiring the Meebits and Cryptopunks collection from Larva Labs, both the top 10 most valuable NFT collections. The future plans include a metaverse built around the IP owned by Yuga Labs. However, it also requires heavy regulatory maneuvers, considering how The Securities and Exchange Council (SEC) stance over NFTs as financial assets is still uncertain.
ApeCoin (APE) has a fixed total supply of 1 billion tokens. The supply of APE is distributed as follows:
- 62% of the supply will go to the ecosystem funds in the DAO treasury.
- 14% will be used to boost future launches.
- 9.75% of the supply will be held by the BAYC collection.
- 8% of the total token supply will go to the Yuga Labs founder.
- 6.25% of the funds will go to the Chimpanzee habitat protection charity known as the Jane Goodall Foundation.
Purpose of the Ecosystem
The ecosystem has an open source protocol layer that serves to incentivize, govern and provide accessibility to the developers and holders. The developers can introduce their own apps and products in the ecosystem through APE. The holders will be allowed participation in the DAO and exclusive sectors such as merchandise and special events will be available to them. APE also cuts back on the participatory intermediates, offering a decentralized system.
The APE Foundation and the DAO Board
The APE Foundation was formed to support the running of the ApeCoin DAO.
According to the website:
"The Foundation facilitates decentralized and community-led governance and is designed to become more decentralized over time. It is tasked with administering the decisions of the ApeCoin DAO and is responsible for day-to-day administration, bookkeeping, project management, and other tasks to ensure the DAO community’s ideas have the support they need to become a reality."
The members of the ApeCoin DAO council include big names such as FTX’s Amy Wu, Sound Ventures’ Maria Bajwa, Reddit founder Alexis Ohanian, Horizon Labs’ Dean Steinbeck, and Animoca’s Yat Siu. Everyone that owns a token will get voting abilities to the DAO, the decisions of the referendum being carried out by a council made specifically to “carry out the decisions of the community,” according to a spokesperson.
As mentioned prior, the token will not be launched by Yuga Labs itself, however, the ownership of close to a quarter of the tokens will go to Yuga and the BAYC founders. Members of the board can have the final say in the ecosystem funds, partnerships, future ventures, proposals and many more.
Gaming and ApeCoin
The ApeCoin token has numerous services, as mentioned previously, however, its full potential is still unknown as it is still in its early stages. One thing that the company was very certain about was that ApeCoin would feature heavily in new gaming ventures that Yuga Labs is working on.
Yuga Labs CEO Nicole Muniz has yet to give a statement either affirming or declining the legitimacy of the supposed pitch deck. In an interview, Muniz did, however, gave a general statement, saying:
“I don’t know how big Bored Ape Yacht Club can be, that’s not to say that I don’t imagine it to be big, but I think — I hope — Yuga will be big and that we will be able to create lots of things that are unique and special and speak to the greater community in different ways.”
Many titles are currently in the works for gaming, one unannounced title being in development with nWay (NWAY), a gaming studio based in San Francisco. nWay has had projects with licensing IPs from big names such as Power Rangers and WWE. The play-to-earn mechanism will allow users to play the game to unlock free tokens as rewards for their time spent playing the game. Another play-to-earn title that Yuga Labs is working on is with the partnership of Animoca brands, in which ApeCoin will provide services. It has been confirmed that ApeCoin will be launched in Benji Bananas, a mobile P2E game by Animoca.
Where To Buy ApeCoin?
The APE token is to be available for trading on many major exchanges such as Binance, Coinbase, FTX, Kraken, Gemini, OKX and Binance US. Currently, the share of liquidity resides on Binance, in the trading pairs of APE/USDT and APE/BUSD.