ApeCoin Is Up Over 100% Since Launch. Should You Buy It?
ApeCoin ($APE) was launched by Yuga Labs on March 17 after the purchase of CryptoPunks six days earlier, when Bored Ape Yacht Club (BAYC) holders receiving up to $100,000 in $APE tokens and MAYC holders receiving between $20 and $30,000 in $APE. More than a month on it’s already seen saw its price rise by close to 100% in the past week, according to CoinMarketCap (CMC). So, what’s been driving ApeCoin’s price since its launch, from an initial price of around $7 to a little over $20 on April 28? It’s also worth noting two fundamentals of the tokenomics, as outlined on the ApeCoin website: “The total supply of ApeCoin is permanently fixed at 1 billion tokens. No minting capability is exposed through the contract interface, thus the total supply will never increase. Similarly, the contract interface does not expose any token burning capability, so the total supply will never decrease.”
What is ApeCoin, and why is it so popular?
ApeCoin was developed to leverage further the popularity of BAYC NFTs for use in the rapidly expanding APE ecosystem. Although the APE Foundation supports it, it is governed by ApeCoinDAO which means that the ApeCoin project is governed by a community of users who rely on smart contracts programming, and the APE Foundation to execute openly and transparently community decision. (The foundation is not an overseer, but the base layer on which ApeCoin holders in the ApeCoin DAO can build.)
While the foundation is responsible for day-to-day operations such as project management and paying bills, the DAO community is ultimately responsible for and decides and directs who works at the foundation. The ApeCoin official website states that the ApeCoin project will be a tool for advancing and implementing games, entertainment, work, and other activities in the metaverse. APE is a token designed to support the next steps controlled and built by the community. It will serve as a decentralized protocol layer for community-led initiatives that push culture into the metaverse world.
Ape Land NFT is the name of the metaverse project launched by Otherside, the core product of Yuga Labs to be created with the $450 million funds raised in a round led by venture capital firm a16z. According to the news released by its official Twitter account OthersideMeta, Otherside will be officially launched at 12pm EST on April 30th. At that time, Boring Ape Land NFT will be auctioned through a Dutch auction, and the starting price will be announced. All users need to complete KYC certification before participating in the auction and can only use ApeCoin to participate. OthersideMeta has also reminded users to reserve some ETH in their wallets as fuel to ensure a smooth auction. Users who hold BAYC and MAYC can apply for the airdrop of Boring Ape Land NFT within 21 days after the auction ends.
When ApeCoin confirmed that it could be used to participate in the Land NFT auction on Otherside, its price skyrocketed. After the news, the price of APE soared from $17.89 to $19.6, an increase of up to 9.4% within just an hour; and as of time of writing, its price is $20.13, up 6.56% in the last 24 hours according to CMC.
Is it worth buying ApeCoin?
ApeCoin’s current market valuation of $5.29 billion, has made it a hot cryptocurrency project that has allowed it to surpass the market caps of powerful metaverse projects Decentraland and The Sandbox. In addition, BigONE believes that ApeCoin’s many use cases in the metaverse and NFT space and the success of the company behind it, Yuga Labs, make it likely to be one of the most significant profit opportunities in 2022. Therefore, if you have sufficient funds for investment, you can consider buying ApeCoin and Ape Land NFT and other products, which are all investment projects with excellent development potential.
Although the price of ApeCoin may rise further as the launch time of Boring Ape Land NFT approaches, BigONE believes that investors should do their own detailed research not to be influenced by FOMO sentiment and invest more funds than they can bear. However, even if you don’t manage to buy ApeCoin at a relatively low price, don’t be discouraged because in the longer term it is a quality crypto project and will give you an inevitable return on investment, and make you richer in 2022.
BigONE believes that every investor should conduct their own research before investing. This article is only for information reference to users and should not be considered to be investment advice. For background reading on the run up to the sale of CryptoPunks to Yugo Labs in March read Anndy Lian’s in depth piece ‘Why Ownership is Vital to the NFT Community Following the Sale of CryptoPunks’ on Hackernoon. ApeCoin is available for purchase on the BigONE Exchange.
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