Who will make the next million dollar NFT?

The first time Tom Williamson and Rob Mayho tried to create an NFT project, they landed on a tangawala. An overweight unicorn, actually. Bold and sunken, unable to stand on its own four hooves, and articulated in 16-bit art style. He called the project Fatty Corn, created 10,000 creatures, and put them all up for sale.

There was only one sale.

So they put an end to the project, and together with Avon Loza and artist Colin Egan did something different: Cole Cats, a productive NFT project that planned to make 9,999 cartoon cats. They were cute, blue, for example, and adorned with accessories such as beanies, bandanas and flannel. This time they went on sale, all sold in 9,999 eight hours, and they made a net profit of about 400 400,000 in Aether.

What was the difference between cats? Luza, who went online at ELU, said they were “cute and cool.” And the experience of buying cats felt like an event. “The way we packed the offer, it felt like opening a packet of Pokemon cards,” Loza said.

A collage of cool cats NFTs.
Photo: Cool cats

Over the past few months, projects like the cool cats in the NFT space have become a rage, driven by the success of ridiculously valuable stocks such as cryptocurrencies, some of which have sold for millions of dollars. These projects typically follow the CryptoPinks model created in 2017: they include 10,000 pieces, all of which are “programmatically developed” – random, basically, pre-fabricated components. Perfect for a profile picture on Twitter or Discard, such as smiles, hats, mustaches, and T-shirts – and formatted head shots.

You can think of these NFT series as big Pokemon games, except that each creature can only be caught once. This means that if you want more of them, or have never caught one before, you have to buy it from someone who has already started playing. Naturally, fans’ favorites such as Pacquiao and Charizard will be valued more than seventh-generation throwers like Catfly. That’s why in cool cats like the NFT series, you’ll see that some cats get 3ETH (about $ 10,000), others 15ETH (about $ 49,000) and all that. Good Above the initial “capture” value of .02ETH (currently approximately $ $ 42), for those who entered the first day.

Dozens of these projects have emerged in recent months, usually revolving around a single creature. There are penguins, aliens and robots. Lion, lion and bear; A whole bunch of cats – Gutter Cats, Moon Cats, Crazy Cats, Punk Cats, Stoneer Cats and Blazed Cats (yes, there are) give Grass-based Cat NFT Series).

The biggest one at the moment is the monkey. The Bore Up Club, which opened in April, includes 10,000 monkeys wearing pink vibes, trucker hats, stud earrings, and naughty greens. At launch, the monkeys were sold for پا 186 a pop. Now, the cheapest monkeys cost more than 80 80,000, and many have sold each for more than 300 300,000 at today’s exchange rates.

Six monkeys wearing different clothes and accessories.  One has pizza in his mouth, the other wears flannel, the other has 3D glasses.

The BAYC website includes a gallery of all 10,000 monkeys.
Photo: Bored Up Yacht Club.

“We were thinking, we have this club, this is the diving bar, what kind of people do we imagine going to this bar? Who do we want? What kind of club do we want to be part of? Explains one of the co-founders of the Bore app, nicknamed Gargamil. Edge. “After a long night of brainstorming, it came. [Gordon, another co-founder] In a dream: Bored up yacht club.

It’s easy to get the impression that these projects, after all the modeling and the overwhelming success of Crypto Punks, are cash for project owners and NFT holders, snatching cookie cutter JPGs and repurchasing them. Hoping to sell. Years later for the amazing storm. Log in to Discard Servers for any of these projects, and you’re likely to see conversations about “floor prices.”

But almost everyone I spoke to. Edge About his involvement in launching or buying the NFT series, he said the financial component was only part of the story, and often not even his primary interest. “When I had a monkey as my profile picture, I could DM another monkey and connect with them,” said Spencer Gordon Sands, a current cool cat owner (and former monkey owner). ), Who work at Venture Capital Edge. “It’s very easy for a community of people.”

The real selling point of the projects is considered to be a combination of great art and access to the great community. The Bored Up Club, or BAYC for short, was really the first to discover it. The founders of BAYC sought to make the process of acquiring monkeys as easy as possible for early buyers, and they styled their series as a literal “club” membership offer. Their website is built around Dewey Bar reflections, and it only provides access to the members board where you can leave digital graffiti, as long as you own the monkey.

Many project founders said that focusing on money first and leaving the community behind was a recipe for disaster. “It’s a losing game,” says Gargamil. “That’s how you build a sustainable pump” – a temporary price increase that eventually crashes – “and we’re trying to build this in the long run.”

Eight dogs wearing different accessories.  One has a monocle, the other has a sunglasses, one has a plant.

Some of Dodge’s 10,000 NFT dogs.
Photo: Dodge Pound

So far, building a community has mostly meant launching Discards, giving away free gifts, and announcing new feature plans. BAYC plans to launch “Mutant Monkeys” while Cool Cats are working on a model to bring their cats into meteors. Giving means NFT owners get it. More NFTs, giving them more to sell, and raising the price of the floor as outsiders see the extra value that comes with owning a cat, monkey or something else.

BAYC, in particular, is interested in expanding the meaning of their club membership. “Your monkey is your Amex black card. You get NFT credit online, but it may also add you to special presses and events, such as a recent meeting in LA,” Gargamil said.

The potentially lucrative financial return is still an incentive for buyers and founders, though, and other plans are clear. Bones and Bananas, a series of NFT bananas, aim to increase the price of bored-up NFT. The project, run by Bore app fans (and monkey owners), uses some of the money raised from its 10,000 edition series to buy at floor prices, increasing demand.

And one Dodge Pound leader was straightforward about looking at buyers because people trusted him with their money. Co-founder with the pseudonym John Lemon says, “I see everyone as an investor and I think it’s important that you do your best to get a good return on everyone’s money. ۔ “

In addition, successful projects are primarily for their founders. After their initial sale, project leaders could have millions of dollars invested (Lemon said it has raised 2 1.2 million). They will usually get a small cut again – usually about 2.5% – every time one of their NFTs resells. So the next time a rare monkey goes to 100ETH, project leaders will receive 2.5ETH from sales, or more than $ 8,000 at today’s exchange rates. This is a great incentive to keep the community engaged and more interested.

“It’s crazy,” says Gordon. “It was actually a joke: we’re now running a multi-million dollar hedge fund with 13,000 active users at Discord.”

Although their ultimate goal is not just cash, they do it a little less from above. The creators of the Bore app say they envision turning BAYC into a streetwear brand وہ they have already introduced limited-release hats, T-shirts and hoodies, which will later be sold on eBay for exorbitant prices. Turned-and that NFTs are probably their first product. And the Cool Cats team envisions turning their brand into the next Hello Kitty.

For Coza, co-founder of Cool Cats, the dream goes something like this: “You walk on the target and you see cool cat plush on the shelves, and buy a Cool Cats game on the Switch that Cool Cats NF. Comes with a tee, and when you’re on the front register you go out and compete for a cool cats sneakers bar.

So far, the productive NFT model has worked. Many of these projects have built up both community and financial value in the months since launch. But no one knows what will happen next. It took many years for the price of CryptoPunks to skyrocket. And while free stuff and second-generation characters can currently promote these projects, the creation of new generations of their NFT risks mitigating the risks that come with joining these odd ball clubs. ۔

Venture capital investor Kevin Rose says, “There are a lot of new NFT projects that are getting tired of using.” Wrote on twitter In the morning he changed his avatar into a cool cat. “I’m going to avoid buying new projects that have 10,000 unique ones. [insert animal], Where they change 3D glasses, hats, hair, necklaces and skins.

But as long as the cat – or the robot, or the alien, or the monkey – is cute enough, people may still be willing to spend a fortune to get one.

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