On March 12, a blockbuster news shocked the NFT industry. BAYC’s parent company, Yuga LABS, announced that it has acquired the IP of the CryptoPunks and Meebits NFT collections from Larva Labs, and will soon grant CryptoPunks and Meebits holders the same commercial rights as BAYC and MAYC holders. After the news was released, the floor price of Meebits soared by 60% to 6.5 ETH; the floor price of CryptoPunks increased by 11.3% to 74.79 ETH. (And last month the company has been in talks with a16z to make a multi-million dollar investment at a valuation close to $5 billion, who is that disgusting? Million investment, does it really need it?!)
Interpret the announcement
What is the specific content of the acquisition?
Yuga Labs only acquired the IP of CryptoPunks and Meebits, not Larva Labs. Larva Labs will continue to operate independently.
Yuga Labs will acquire the IP of CryptoPunks and Meebits, including brand, art copyright and other IP rights. In addition, Yuga Labs also acquired most of the NFTs held by developers from Larva Labs, which Larva Labs currently holds 423 V2 CryptoPunks and 1711 Meebits.
Larva Labs team members still hold some of their “favorite” CryptoPunks and Meebits NFTs.
How much did the acquisition cost?
The announcement of the two parties did not disclose the specific acquisition amount, but according to the floor price, (help me calculate this…) It can be speculated that the total amount of this acquisition is about XXXXXXXXXX.
After the acquisition, what will happen to the owner’s equity?
The announcement made it clear that Yuga Labs will soon grant holders of CryptoPunks and Meebits the same commercial rights as holders of BAYC and MAYC. New terms and conditions are currently being drafted for both sets and will be shared with the community shortly. Upon completion, intellectual property, commercial and exclusive licensing rights will be transferred to individual NFT holders. This will enable owners of CryptoPunks and Meebits to create artwork and products based on their NFTs just like owners of BAYC.
After the acquisition, the three IPs belong to the same family. How does Yuga Labs allocate resources?
Yuga Labs has made it clear that it will still see BAYC as an absolute construction center. Yuga Labs will work to bring additional utility to the CryptoPunks and Meebits collections in the role of an ideal steward. They expect that with the acquisition complete, the commercial rights will be fully open and third-party developers and community creators will be able to incorporate CryptoPunks and Meebits into their web3 projects.
Larva Labs ：
“Our expertise has always been creating things early in the life of technology”
“We find ourselves less and less suited to the operation of these programs. Our personalities and skills are not well suited for community management, public relations, and the day-to-day management that these kinds of programs need and deserve.”
“Yuga Labs is the innovator of the modern PFP project model and they will do it well.”
Why buy it?
“Our vision has always been to build a community-owned brand that goes well beyond NFTs”
“Extending reach and scale across pop culture”
“We are excited to bring the CryptoPunks and Meebits brands into the future as part of the wider ecosystem we are building.”
Two NFT projects acquired by Yuga Labs, CryptoPunks (left), Meebits (right)
The announcement did not specify specific plans after the acquisition. But judging from the information revealed, there is a high probability that Larva Labs will return to what they are good at, as the front-end “artist” of the Yuga Labs universe, creating more “exclusively for Generation Z and all digital originals” for this grand vision. A precious collection of the inhabitants”.
Nicole Muniz, CEO of Yuga Labs, said, “We are honored to take on the stewardship of these brands and the communities behind them. But we don’t plan to force CryptoPunks and Meebits into BAYC’s operating model.”
Yuga Labs’ eyes will not be limited to NFTs. The company has rolled out merchandise promotions, released a limited-time mobile game and hosted a celebrity-filled party in Brooklyn. Wylie Aronow, another co-founder of Bored Ape Yacht Club, said: “We see our tentacles reaching out to these things: streetwear, events, games, NFTs, etc. It’s just a matter of figuring out and putting this kind of The utility extends to these new IP issues.”
Let’s think boldly, what about a project with a huge “user value consensus” in the NFT market that wants to be its own trading market? Is Opensea sweating?
How exactly is the classical NFT project CryptoPunks surpassed by the rising star BAYC?
At the beginning of 2017, after founders John and Matt left 1,000 CryptoPunks for themselves, they gave away all the others for free. One week later, all the CryptoPunks were claimed. When the primary market closes, the secondary market becomes active. But they made a huge mistake, a glitch in the original smart contract, for which Larva Labs scrapped the first version (V1) contract and reissued the NFT with the second version (V2) contract. Fortunately, after the two founders confessed their mistakes to the community, they gained the understanding of the community, and the loopholes were quickly patched. However, such a mistake that should not have happened made Larva Labs bear the label of poor business. From this moment, CryptoPunk also has two versions V1 and V2.
Then there is the story that everyone knows, CryptoPunks has skyrocketed, and the transaction volume of this series of NFTs has exceeded 2 billion US dollars so far.
The NFT market is developing rapidly, and the community is constantly evolving.
On January 25, 2022, Larva Labs officially tweeted: ‘V1 Punks’ are not official Cryptopunks, although we have 1,000 of them…but we don’t want it, so community users can judge for themselves which is better Bad. We believe that any proceeds should be used to buy real Cryptopunks! “
Before the words fell, Larva Labs discovered that the creative team actually sold dozens of V1 Punks for profit. The community is angry – if the contract mistakes at the beginning of the birth were unintentional, then this time is a thorough profit-seeking behavior at the expense of the community’s interests, and it is an anti-community, anti-blockchain and anti-decentralization evil. Larva Labs later apologized in an official statement for selling the V1 Punks, calling the move “stupid” and “wrong.” The general reaction from the NFT community to this has been negative. Some holders believe that the creative team can “do whatever they want”, but ordinary holders don’t know how to use the pictures they own for profit. The reason is very simple, Larva Labs adopted the NFT License (NFT License Agreement) first drafted by Dapper Labs, and has been reluctant to grant similar commercial licenses to Cryptopunk NFT holders, without providing holders with the opportunity to add additional benefits, “We I can’t see its real value.”
BAYC, which was born in April 2021, is completely different from Cryptopunk. From the very beginning, it attached great importance to the community. It can be said that BAYC grew up relying on the community. Bored Ape holders can use the images they own for any purpose — including merchandise, Metaverse, and branding — plus, Yuga Labs offers holders additional perks like free NFTs, exclusive merchandise, and events, “Every ape that devotes itself to the field of encryption will have freedom of wealth.” The power of the community is huge. In the two months since the launch of BAYC, the price of some apes has exceeded six figures. The reason is very simple. The core of NFT is the recognition of value. Commercial rights are the premise of value realization.
Those who win the community win the world
This acquisition is undoubtedly a blockbuster news for the NFT community, giving the NFT market a shot in the arm with weak growth (it is worth noting that this acquisition was made at a time when the growth of the NFT market is slowing down. With the above On a week-to-week basis, NFT sales fell 29.46%, and total transaction volume fell from $4.3 billion in January to $2.6 billion this month. However, the NFT landscape experienced massive growth in January. In such an intensive After a period of growth, there is always a period of decline. So when it comes to the future of the NFT ecosystem, the recent decline is not necessarily a good indicator). After all, in the traditional business world, it is more reasonable for the boss to annex the second child. This shows that an IP that does not pay attention to the construction and operation of community culture will never go forward. Although there is a high floor price, if the founding team does not “monetize” the project and design a good economic model (every time the boring ape is resold, They would all get a cut. However, Larva Labs did not do the same with CryptoPunks and Meebits. Yuga Labs said they did not plan to change this, but they did not provide any statement what they did intend to do with the collection.), no team It will go (Yuga Labs has grown from 11 employees two months ago to 50, and guess how many people they run the community).
Although BAYC’s offline activities have caused huge controversy among players, its value of attaching importance to community building is very much in line with the spirit of Web3. Consumers are the parents of food and clothing, and the principle that water can carry a boat can also capsize it is also applicable to Web3. Respect for the user is always the first factor to consider.
Therefore, Brother Yuppie suggests that entrepreneurs of NFT projects should never treat consumers as fools. Only with community users can brands grow. Every user is the tentacle of the IP out of the circle. As you can imagine with your feet, 10,000 monkeys are indeed not enough. BAYC’s big game has already started. Next, it may continue to buy, buy, buy, and cross-border various cooperations. The BAYC universe will also become a digital world with the emergence of NFTs. “Disney”. Hopefully, BAYC will keep its original intention, always work with community users, and continue to operate the brand with the mentality of building IP from 0. After all, this is a silent declaration of war from the new IP era to the old IP era.
This story is still developing, and we will update the report as soon as possible.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/revolutions-are-boring-apes-that-start-from-within/
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