Welcome to NFT Insider for April 6th 2022 – FREE Edition, brought to you weekly by Alts.
We’ve got loads to talk about this time, including three NFTs IPO’ing on Rally.
But just before we kick-off, have you seen what we’ve been up to lately? We’ve launched our very first fund, ALTS 1. It’s a chance to get better returns for less risk:
Table of Contents
NFTs in 2022
Returns on the fractional sites are currently at 42%. The space is mixed, with Bored Apes enjoying the highest returns. The fractional marketplace is also further complicated with Rally realizing better returns than Otis.
The 1-year daily sales volume chart on Nonfungible.com shows a slight bump, following NFT LA. NFT LA was the latest gathering of NFT enthusiasts during the technology’s extended coming-out party (now in its ninth month), so the bump makes sense. Some of the increased activity can also be attributed to Azuki stealing the show (more on that below).
Otherwise, the daily sales volume has settled into a range of between $28 – $65 million for two months.
NFTs Last Week
NFTs on Fractional Marketplaces
On Rally, “Elephant” Meebit and “Pig” Meebit #15511 are still trading below the initial offering. Pig #15511 had an initial market cap of $75k but it could be hurt by the 100% funded Pig Meebit #7985, which has yet to open for trading with a $38k market cap.
“Leather Jacket” Bored Ape #9159 ($294k market cap) and “Astronaut” Bored Ape #7359 ($342k market cap) are all sitting at a market cap below floor price. The current floor price for Bored Apes is $384k.
On Otis, most NFT projects are down. CryptoPunk #543 is still up considerably, trading at $7.44 per share, up from $1 per share at IPO. The Grimes NFT Collection is also holding steady at $31 per share, but it is plagued by low liquidity.
NFTs on OpenSea
So, Azuki had a party at NFT LA last week – and we’re not just talking about the floor price. Azuki hosted a party at Nightingale Plaza in LA, where the requirement for admission was… being an Azuki holder, of course. At the party, the devs announced that every Azuki holder would receive two airdrops.
The drop was anticipated in the days leading up to NFT LA. At the beginning of March, the Azuki floor price was just above 8 ETH. About ten days before NFT LA, the floor price suddenly rose to 12 ETH, and then four days prior to the event, the floor price was above 17 ETH.
What will the airdrop be? We don’t know. We’re not sure when the reveal will be either, but as of right now, the airdrop titled BEANZ has had the second-highest trading volume on OpenSea this past week, second only to the original Azuki collection.
Azuki has now flipped the Mutant Apes and has the fourth-highest all-time trading volume on OpenSea. Oof. Not bad for a collection that’s less than three months old.
NFTs This Week
This week is a busy one. Put your smart spending pants on, because there are some great opportunities.
Fractional Marketplaces
“Glowing Eyes” Azuki #6704
When: April 6 @ 12 PM ET
Platform: Rally
Market Cap: $32k
Retained Equity: $0
Inferred Value: $120k
Our View: [INSIDERS ONLY]
Sandbox 9-Plot Estate NFT
When: April 8 @ 12 PM ET
Platform: Rally
Market Cap: $105k
Retained Equity: $0
Inferred Value: $87k – $93k
Our View: [INSIDERS ONLY]
Mutant Ape #9114
When: March 30
Platform: Rally
Market Cap: $89k (49% funded)
Retained Equity: $0
Inferred Value: $91k
Our View: [INSIDERS ONLY]
Projects Minting
When we highlight minting projects, we are not endorsing the project but highlighting a few reasons why the project has the potential to be successful. How do we define success? We define a successful project as one that you can mint and sell for a profit or one where you hold and benefit from its utility.
Sneaker Heads by Ali Dawood
No official date or details yet, but Whitelists are given out on Twitter.
Ali Dawood is a 3D motion graphic artist gaining popularity for his Sneaker Heads. His collection doesn’t have a set release date or mint price, but he is gaining followers. The Sneaker Heads Twitter account drops random links to join the Discord and to get whitelisted. Worth a follow!
Industry News
This week we have something to learn, something to mourn, and something to wait for.
- You may remember we wrote about the shocking “Frosties” rug pull before. In case you missed it, you can catch up here. The two young men responsible for the rug pull are facing 20 years in prison for fraud (and more precisely, for scamming nearly $1.1 million!!). And in case you’re left wondering how an NFT rug pull this size even works, we have just the thing for you – here’s some great reporting on how (and why) the “Frosties” rug pull went down. There are a lot of lessons that buyers can take away from case studies like these.
- F1 Delta time, one of the first-ever licensed NFT games in 2019 has shut down, leaving the game’s digital assets owners with nothing more than a few replacement tokens. Animoca Brands announced that it had to shut down F1 Delta Time when it could not renew its license. As pcgamer.com says, this would be a major blow to any game, and especially one whose license is wrapped up in the sale of blockchain-based digital items. It’s not just any game either – F1DT is (was) one of the most popular NFT games and even had the most expensive NFT sale of 2019 – a $100k digital car… Owners of the digital assets have been offered replacements for their cars with another racing game cars or race passes.
- Lastly, yet another hacking. Axie Infinity’s Ronin sidechain was hacked, and more than $600 million worth of cryptocurrency was stolen from the game’s ecosystem. That’s a lot! It’s the second-largest DeFi hack of all time, with the value of the stolen ETH and USDC worth an estimated $550 million at the time of the hack. Because of it, the upgrade of the Ethereum game had to be delayed a week. Axie developers have promised to reimburse all holders affected by the security breach. Here’s the trailer for Axie Infinity, in case you haven’t seen it yet:
