What about those sneaky, funny, and annoying monkeys that are constantly making headlines? Many collectors argue that the image itself is less of the culture, social capital and wealth that the property community has gained through the Bored Ape Yacht Club (BAYC) that gives the collection its value. Raising over $1.42 billion in total volume, the community was confident that the creators would deliver on their token offering.
On March 17, BAYC’s utility and governance token, ApeCoin (APE) became eligible for BAYC and Mutant Ape Yacht Club (MAYC) holders. According to the data, nearly 99% of eligible wallets have already claimed their stake and more than 132 million tokens, worth $1.8 billion, have been claimed.
As expected, the price of APE swung on both ends of the spectrum as it fell more than 80% to as low as $6.21 on the first day of trading before rising by 90% on the second day. Of the 1 billion tokens generated, 15% were distributed to owners, leaving many crypto-nationals to speculate on their impact and repercussions within the Web3 economy.
BAYC has played a very important role in accelerating cultural change and the adoption of non-fungible tokens (NFTs). A month after its release, APE has already begun talks about governance protocols, their usefulness within the metaverse, and their continued adoption as a global payment method in the NFT space.
ApeDAO drives the will of the community and the future of ApeCoin
ApeDAO is an independent decentralized organization that launched ApeCoin. As a governing body, the DAO is governed by the APE as a means of presenting its members’ proposals about what is best for the community, after which those proposals are voted on by the owners of the APE.
Although there are many DAOs, ApeDAO is likely to be a catalyst for a paradigm change between ‘consumers’ and ‘owners’. APE has the potential to benefit significantly from larger communities, due to the potential for a catalytic structure with its DAO.
Despite all these opportunities, DAOs, which may look solid on paper, are not the easiest layer of decentralization.
More often than not, a project begins as a centralized entity, team, or organization that gradually moves the needle toward more decentralized ways of equitable distribution. This is not an easy task and requires a great deal of time, coordination and active effort on the part of the members.
The biggest challenges for DAOs are that the code is the law and active coordination between members must be voted on. ApeDAO is not immune to the challenges that most DAOs face and is already challenged by some monkey improvement protocols (AIP).
Specifically, AIP-4 and AIP-5 focus on allowances for storage pools (AIP-4) and the three-year length of the initial storage period (AIP-5). Each was written by a platform – a decentralized game format from Animoca Brands, a major investor.
These proposals highlight the rugged terrain of navigating diverse opinions and intentions while reducing the process to a mutually beneficial consensus. Details of the staking proposal say that over three years, 17.5% of the total ApeCoin supply will be distributed and funded by the ecosystem fund. The staking protocol will also consist of different staking pools whose APE distributions will vary depending on the asset being stored.
Vocal NFT residents took to Twitter, Regarding The proposals were rushed and seemed to benefit the venture capitalists, not the community.
In the eyes of Animoca Brands, APE’s intent, outside of governance, is to be the preferred token in the metaverse. However, to do so, Animoca Brands advises incentivizing participation in the staking protocol, either through the APE or the BAYC NFT ecosystem.
More than 10 million APEs (nearly $150 million) are used to determine this vote and both AIPs are still pending. It is undoubtedly a high price for a consciously created proposal to get newcomers into the etaverse.
ApeCoin could be a pool of interest in the Metaverse
Although APE does not equal equity at Yuga Labs, it does provide access to the BAYC ecosystem. APE is also serving as a payment method in the upcoming release of MetaRPG, the Metaverse platform.
Yuga Labs raised $450 million to create and grow this new metaverse, valuing the company at $4 billion. The impending world of interoperability is expected to be completely decentralized and will strategically partner with other game studios to bring the other sideThe multiplayer online role-playing game (MMORPG) from Yuga Labs, brought to life.
since the other side Not exclusive to those with BAYC properties, those with APE can also participate and benefit from the game play and win. Although Yuga Labs is not responsible for creating the APE token, in a statement to CoinDesk, Yuga Labs CEO Nicole Moniz said that it will “adopt ApeCoin as the base token for all new products and services,” suggesting that it could be a valuable investment. .
Yoga Labs, especially BAYC, have been dubbed the NFT monopoly by thought leaders and with their recent token release, the value of APE is tied to the health of the BAYC group.
Currently, APE has a total market capitalization of around $3.4 billion and there are approximately 169 million tokens in circulation out of a total of 1 billion. Up more than 95% from its all-time low, APE is currently trading at $12.05.
Traders are speculating on the token’s potential value as ApeDAO describes APE as a token that transcends the culture of Web3 through games, art, and entertainment.
Building on the success of BAYC, culture has played a pivotal role in guiding newcomers to NFTs and Web3. BAYC’s cultural relevance within the ecosystem has companies, entities and merchants looking to grab a piece of the pie.
Related: Fact or Fiction? Has ApeCoin (APE) really fallen 80% since its launch?
Will the merchants make the monkey?
APE is the base currency for all projects in the BAYC ecosystem and other entities are looking to adopt it as a form of payment. New York-based TIME magazine announced on Twitter that its subscription fee for the magazine can be paid online at APE. TIME also accepts Bitcoin (BTC), Ripple (XRP), Dogecoin (DOGE), and soon APE.
Congratulations to ApeCoin DAO for posting Tweet embed I am happy to be able to announce that @weather will accept monkey dollar For digital subscriptions in the coming weeks at https://t.co/tiBU5fsE5B ⏰❤️
– TIMEPiecesᵍᵐ (timepieces) March 20 2022
Prior to this announcement, E11EVEN Residences in Miami and Saltwater Brewery had announced similar intentions to accept APE as payment for their own products.
BAYC’s last drop in commodities was not on March 29 dear In APE but in US dollars and payment is made in APE. This has left some owners arguing about accepting cryptocurrencies as a form of payment due to their volatility.
APE is not the first and widely adopted utility/management token outside of Web3. Previously, the in-game token Smooth Love Potion from Axie Infinity also gained popularity in the Philippines, and merchants began accepting the token as payment for services and goods.
– LeevaiNFT 5 July 2021
Along with institutional APE entities that adopt the token, creators are also looking for ways to increase their portfolio size by accepting them in exchange for the services they may provide. APE as a key to the BAYC ecosystem is one of the main reasons why it is more desirable and is being adopted regularly.
Although it is still unclear about the potential staking mechanism and where its value might go, APE could become the very token of Web3.
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