At the beginning of March 2022, it was announced that owners of the Bored Ape Yacht Club NFT collection would be getting their very own new form of cryptocurrency- the ApeCoin. After just one day of trading, ApeCoin had a market capitalization of almost $2 billion. One APE is currently worth about $14 and the total supply of tokens is capped at one billion, not all of which is currently in circulation. So far, around 110 million APE tokens have been claimed by NFT holders.
For the first 90 days of ApeCoin’s existence, anyone who held some combination of NFTs from the Bored Ape Yacht Club and its two spin-off collections, the Mutant Ape Yacht Club and the Bored Ape Kennel Club, can claim a certain amount of APE from ApeCoin’s website.
But what is an “ApeCoin”?
According to the ApeCoin’s official website, the token is, “a decentralised protocol layer for community-led initiatives that drive culture forward into the metaverse”. ApeCoin, or APE, is an ERC-20 token built using the Ethereum frameworks which aims to decentralise power to the APE currency owning community. For each Bored Ape Yacht Club NFT bought, owners are entitled to 10,094 APE. That’s around $150,000 at today’s prices – about half of the price of a Bored Ape NFT.
What does owning an ApeCoin let you do?
ApeCoin is a product of ApeCoin DAO, a new organisational unit governed entirely by token holders. Holding APE makes you an automatic member of the DOA (decentralised autonomous organisation), an online collective centred around crypto with owning a Bored Ape NFT being non-essential to join the collective. All APE holders are automatically members of the ApeCoin DOA, which makes proposals to the community, for the community, which token holders can then vote on.
There is also a separate organisation called Ape Foundation subcommittee which serves as ApeCoin DAO’s “board” as they oversee certain proposals. Additionally, there is Ape Foundation which handles the day-to-day DAO administration, proposal management and “other tasks that ensure the DAO community’s ideas have the support they need to become a reality.”
ApeCoins were additionally created for the benefit of “initial contributors” to the Bored Ape Yacht Club NFT collection with 38% of ApeCoin set aside for their use and ownership only. Yuga Labs is getting 150 million APE, 10 million of which (“or equal value”) will go to the Jane Goodall Legacy Foundation. The Jane Goodall Legacy Foundation benefits through the creation of ApeCoins in contributions to aid with the support and conservation efforts for real-life jungle primates. 140 million APE goes to “the companies and people that helped make this project a reality” – an as yet unnamed group that most likely includes members of the Yuga Labs team. And 80 million APE goes to the founders of Yuga Labs. All these coins are “locked” for the first 12 months, so holders can’t just cash out and tank the price.
ApeCoin currently exists as a means of speculation and “governance” for the DAO, however there is talk of ApeCoin being the first step in the development of a whole new ecosystem, powered by APE. APE is enhancing and shaping the development of Web3 and online communities, something I think we will see a lot more of in the next few stages of crypto development.
To learn more about ApeCoin, the online marketplace and all things NFT related, visit Fracas Digital