All eyes within the crypto world are fixated on the newly emerged ApeCoin token, which has, within days become the largest metaverse token on the market. Since its launch, the coin has rallied by around 40% as crypto fanatics scramble to gain ownership of the new hottest property on the block(chain).
Within this blog, we explore:
- What’s behind the hype surrounding ApeCoin?
- Can ApeCoin be mined?
- Can ApeCoin reach $100?
- What’s the best way to buy crypto?
What’s behind the hype surrounding ApeCoin?
To understand the hype surrounding ApeCoin, it’s important to step into the world of NFTs briefly. You’ve probably seen or more likely heard of pictures of apes selling as NFTs for millions of dollars in NFT marketplaces. This sought-after collection of 10,000 ape NFTs comes from the Bored Ape Yacht Club (BAYC), creators of unique digital collectables traded on the Ethereum blockchain. The most expensive to date was BAYC #8817, which sold for the sky-high price of 3,408,000 USD. BAYC is arguably responsible for kicking off the NFT avatar craze.
The BAYC is the second most influential NFT project in existence, only trailing the Crypto Punk collection. CryptoPunk #5822 became the highest-selling CryptoPunk to date when it was sold for 8000 ETH, worth close to 23.7 million USD.
Following on from the successful and highly sought-after BAYC NFT collection, ApeCoin was released on March 16, 2022 by Yuga Labs, the creators behind BAYC. The coins/tokens were released and made available exclusively for holders of BAYC NFTs. The coins are also entirely free to claim for all BAYC members. Within days of release, 125 million ApeCoin tokens have now been snapped up by 14,000 unique addresses.
Can ApeCoin only be owned by owners of BAYC NFTs?
Only holders of BAYC NFTs were able to access the ApeCoin tokens upon initial release, ensuring supply was initially restricted. The coins represent a BAYC NFT membership perk; however, once the coins have been claimed, they can then be sold on most major cryptocurrency exchanges. Meaning they are now available to anyone with a crypto trading account.
Can ApeCoin be mined?
The short answer is no. ApeCoin, unlike Bitcoin (BTC) has not been created in a way which allows them to be mined. Instead, as mentioned above, they are only initially available for holders of BAYC NTFs. It is reported, that more ApeCoin’s are likely to be released by Yuga Labs for holders of BAYC NFTs.
Can ApeCoin reach $100?
As is often the case with cryptocurrencies, there is a lot of speculation around future pricing. For perspective, ApeCoin’s market cap at the time of writing is $5,798,118. In order for the coin to reach $100, this would require a 5X growth rate. This would require ApeCoin to reach the same market capitalisation as Cardano. A coin which offers, at this stage, far greater levels of utility.
However, utility is not always directly correlated with coin value. The exclusivity and hype of ApeCoin may indeed drive its price higher in the short term. As is often the case in this wild and unpredictable market, investors will simply have to wait to find out the destiny of this coin. However, what is for sure is that for a token to amass such a large valuation within days of release is testament that the crypto market has enough space to accommodate new assets with good fundamentals and value prospects.
Yuga Labs have big plans for their new cryptocurrency. According to the board, ApeCoin ownership will provide holders with access to online games, additional airdrops of ApeCoin and various metaverse experiences. Nicole Muniz, CEO of Yuga Labs, Tweeted, “Ape is a reflection of the communities growing desire for decentralization”.
With the projected launch of ‘Otherside’, the metaverse world of the BAYC ecosystem whose major economy will be powered by the APE token, “many investors have been doing all they can to own a slice of the digital currency while it is still cheap” (Faud Fatullaev, Founder and CEO of WeWay).
Holders of ApeCoin will also be actively involved in the management and future of the coin. Designed as a democratic crypto community, holders of ApeCoin will be able to vote on the management and fund allocation, and future partnerships of the coin.
This type of community is known as a decentralised autonomous organization (DAO), a type of entity which has no central leadership. All decisions taken are bottom-up from within the community. All governance comes from the members of ApeCoin. The only thing necessary for membership is ownership of token.
How can crypto advocates gain access to this coin?
The easiest way to gain access to the ApeCoin ecosystem and the associated benefits is via wenlite.io. Wenlite provides crypto users a simple way to trade coins and tokens within the crypto market. The easy-to-use app offers all major coins making it perfect for both crypto beginners and experienced traders.