Azuki is in a crisis of confidence, NFT sold

On May 10, a blog published by ZAGABOND.ETH, the founder of the well-known NFT project Azuki, caused a great uproar.

In an article titled “The Builder’s Journey”, he revealed that he had created three NFT projects, CryptoPhunks, Tendies and CryptoZunks, but later abandoned these projects for various reasons, and finally created Azuki.

The original intention of ZAGABOND.ETH was to introduce his mental journey of continuous entrepreneurship in Web3, and to express that his past failures taught him valuable experience and contributed to Azuki’s success.However, after the article spread to the crypto community, it sparked criticism.

Some people questioned that ZAGABOND.ETH was a liar, believing that he “betrayed the community” and participated in three Rug Pulls projects. “Rug Pulls” refers to the malicious behavior of the project party to lure early investors into injecting funds and then abandon the project.

Affected by this, the floor price of the Azuki NFT series once fell from nearly 20 ETH to 10 ETH, which was cut in half. As of 4:00 pm on May 10, the Azuki floor price has recovered to 15.5 ETH, which is still a drop of more than 20% from the intraday high.

After the founders revealed that their entrepreneurial history was short-lived, the Azuki project fell into a crisis of trust, and the community consensus was being lost, which also planted variables for its future development.

Azuki founder revealed that he had abandoned three NFT projects

In the past few months, the Azuki NFT project consisting of 10,000 Japanese anime and manga characters has become very popular. With its original genes and sophisticated production style, the Azuki series has quickly become one of the blue-chip projects in the NFT field, and its market value ranks among the NFT rankings. Top ten, and rapidly expanding its own IP popularity.

Azuki is in a crisis of confidence, NFT sold

Azuki series NFTs are widely popular in the market due to the Japanese style

However, a “self-disclosure scandal” by the founder suddenly fermented, and Azuki fell into a crisis of confidence.

On May 10, ZAGABOND.ETH, the founder of Azuki, published an article called “The Builder’s Journey” on the social platform. His original intention was to introduce his mental journey in the field of Web3 and disclose his past. Three failed projects. Unexpectedly, these experiences caused an uproar in the crypto community.

ZAGABOND.ETH wrote that his original project was CryptoPhunks, a collection of NFTs created in imitation of CryptoPunks. He claimed to be attracted by the talent of CryptoPunks, but unsure of some of the decisions his parent company (Larva Labs) made at the time, he started building CryptoPhunks to get the community thinking about Web3 copyright rules.

This article shows that after the release of CryptoPunks, Larva Labs initiated multiple takedown requests on the grounds of infringement, resulting in the series being removed and relisted several times on OpenSea. “Because CryptoPhunks has always been a community-driven project, (the team) handed the ‘reins’ to the community for decentralization,” ZAGABOND.ETH said, adding that since the project was handed over to community leaders in July 2021, the team has No further indirect or direct involvement in the project.

Soon, ZAGABOND.ETH launched another project called Tendies. According to the introduction, this is a unique “chicken” NFT project based on the lottery system. The project was more short-lived though, with Azuki’s founder saying that despite their best efforts, the project was only 15% minted, “and they only got us so far.” Tendies were quickly abandoned.

Subsequently, ZAGABOND.ETH decided to continue building projects around the concept of CryptoPunks, and he created CryptoZunks, a customizable PFP product that supports holders to continuously “roll back” on the chain to change the characteristics of NFTs. But according to ZAGABOND.ETH, the limitations of the project were quickly revealed, as Ethereum’s gas cost stifled the product experience. Ultimately, CryptoZunks also failed after some team members left.

ZAGABOND.ETH said that the three failed projects provided him with valuable experience, CryptoPhunks taught him the magic of storytelling; Tendies taught him the importance of original ideas; CryptoZunks taught him that no matter how good the product is, Gas cannot be ignored The impact of fees on product experience.

“Without the lessons learned from our previous projects, Azuki would not be what it is today.” ZAGABOND.ETH obviously wanted to express that the above failures made Azuki’s success, but the experience of giving up three projects in just one year , so that he has been accused by many crypto people.

Twitter KOL @ZachXBT, known as a “crypto detective”, wrote sarcastically, “So Web3.0 means abandoning three projects in less than a year?”

Others charged ZAGABOND.ETH as a “liar”, saying he betrayed the community and participated in three Rug Pulls projects.”Rug Pulls” refers to the malicious behavior of the project party to lure early investors into injecting funds and then abandon the project.

With the publication and dissemination of the article, ZAGABOND.ETH fell into a slap of verbal criticism, and Azuki was also involved in the haze.

Loss of trust, Azuki floor price was cut in half

ZAGABOND.ETH’s autologous blog was quickly noticed by the Azuki community. Although the founder repeatedly emphasized Azuki as the team’s vision for the future of Web3, distrust has been bred among Azuki NFT holders.

The data on the secondary market reflects the consensus loss of the Azuki community. On May 10, the floor price of Azuki quickly dropped from nearly 20 ETH, and the lowest fell to 10 ETH, which was almost cut in half. As of 4:00 p.m. that day, the Azuki floor price had risen to 15.5 ETH, a drop of more than 20% from the intraday high.

According to data from NFTGo at the same time, in the past 24 hours, the transaction volume of Azuki series NFT increased by 1129%, of which there were 665 buyers and 726 sellers, which caused the number of Azuki holders to drop by 1.41%. During this time, the NFT series experienced the most hand changes in nearly a month.

Azuki is in a crisis of confidence, NFT sold

The number of Azuki series NFT holders decreases

Obviously, the abandonment of three projects by ZAGABOND.ETH has affected the confidence of Azuki holders. Some people worry that at some point in the future, once Azuki is unprofitable, the team may also abandon the project and leave.

It is worth noting that Azuki emphasized the value of “community first” in the official introduction, which stated that everything starts with the community, and giving up the community means Azuki’s failure, “The community is our original intention, and we will always put the community in the community. First and foremost. The core team will provide resources and guidance to the entire community.”

In the eyes of doubters, this statement is particularly ironic after ZAGABOND.ETH “exposes the scandal”, “Given the team’s history of betraying the community many times, this commitment is worthless.”

According to Azuki’s official plan, in the future, it also plans to develop offline streetwear brand stores around its own IP, hold live events such as meetups and music festivals, and create Metaverse games. But as ZAGABOND.ETH stated in the article that it “realizes the importance of storytelling”, some community members are also skeptical that the above plan can be implemented.

Under the criticism from the crypto community, ZAGABOND.ETH responded by saying that he had previously fulfilled all the promises for those failed NFT series, “Of course I hope they succeed, it is a pity that the products do not match the market, but this does not mean that they It’s Rug.”

This response has not changed people’s perception of ZAGABOND.ETH, and the controversy surrounding him and Azuki is still fermenting. At the same time, why ZAGABOND.ETH came forward to expose the experience of those abandoning the project has also become a topic of concern. After all, it is unlikely that he did not realize that these words would have a negative impact on Azuki.

In response, Twitter KOL@0xHustler broke the news that there were rumors that the CoolCats NFT team was going to expose the founder of Azuki, so he was forced to publicly announce these past events. However, as of press time, this information has not been confirmed by both parties.

In any case, ZAGABOND.ETH’s self-exposure exposes some of the insider of the NFT industry. That is, the same person or team may issue multiple NFT projects, and at the beginning of the release, these projects often have great declarations, but once the project progress is not satisfactory, the project party may withdraw quickly and leave the mess to the community. Therefore, some NFT players reminded that investors should do a good job of research before buying NFTs. They should not pay too much attention to what the project said, but should pay more attention to what it did, so as not to fall into a hype atmosphere.

For Azuki, after this wave of farce, community consensus was inevitably lost, which also sowed variables for its future development.

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/azuki-is-in-a-crisis-of-confidence-nft-sold/
Coinyuppie is an open information publishing platform, all information provided is not related to the views and positions of coinyuppie, and does not constitute any investment and financial advice. Users are expected to carefully screen and prevent risks.

Like (0)
Donate Buy me a coffee Buy me a coffee
Previous 2022-05-11 00:15
Next 2022-05-11 00:16

Related articles