We are increasingly used to seeing NFTs sell for sizable sums, but sometimes it’s the bargain basement sales for in-demand NFTs—particularly those well under the typical going rate—that really catch our attention. And this Bored Ape Yacht Club example today is a true standout.
Some have theorized on social media that the seller thought the offer was for 115 ETH (about $385,000 right now), rather than 115 DAI. That said, the NFT was sold on OpenSea, which lists the USD amount for each cryptocurrency right alongside. It would be difficult to miss.
What makes this particular transaction extra suspicious is that the seller (cchan.eth) also sold a Mutant Ape Yacht Club NFT (#11670) at the same time for 25 DAI ($25). Again, that’s dramatically lower than the floor price or the cheapest available Mutant Ape on a marketplace, which is currently at 22.8 ETH (over $76,000).
So while it’s possible that someone made a mistake and sold a pair of NFTs for at least $461,000 less than their market value, it could also be the result of some kind of exploit.
CryptoPunks might have kicked off the NFT profile picture trend, but the Bored Ape Yacht Club is making even stronger inroads to collectors who aren’t deeply immersed in crypto culture.
Yuga Labs’ Ethereum-based NFT project—which has yielded more than $2 billion in secondary trading volume across three collections—counts a growing number of celebrity owners, including big names like TV host Jimmy Fallon, athletes including Stephen Curry and Shaquille O’Neal, and musicians like Marshmello and Pos...
OpenSea recently dealt with an exploit regarding inactive marketplace listings that had not automatically expired, and doled out millions of dollars to compensate victims. In another recent situation, OpenSea blamed an external phishing attack when users saw NFTs in their respective wallets sold without their express permission. Both issues were ultimately resolved.
Some have also speculated that these Bored Ape and Mutant Ape NFT sales are part of some kind of tax loss harvesting scheme or tax evasion attempt, as noted NFT collector Artchick suggested on Twitter.
feels more like a tax evasion attempt, they sold their mutant for $25 to the same wallet
they'll probably claim they were scammed and may even have the audacity to try to write it off, they bought the ape for 16eth
Tax loss harvesting is when someone sells an NFT for well under the purchase price to help offset other capital gains. If the person who sold the Ape NFTs also controls the unlabeled buyer’s wallet, however, then they theoretically would only be spending the transaction fees to try and obscure a tax liability.
As of this writing, Decrypt is not aware of anyone claiming to have been on either side of these NFT sales, nor is it currently clear who is behind either wallet.
Whoever did buy the Apes, however, quickly redeemed the free ApeCoin (APE) token allotments provided to Bored Ape and Mutant Ape holders. All told, the buyer received 12,136 APE, worth about $181,000 as of this writing.
Daily Debrief Newsletter
Start every day with the top news stories right now, plus original features, a podcast, videos and more.
NFT Revolution
NFTs are provably unique crypto tokens that are quickly becoming increasingly popular among digital artists, gaming companies, and investors. Track the NFT revolution here.
The Infinite Node Foundation, a newly established nonprofit endowment, announced Tuesday that it has acquired the IP of influential Ethereum NFT collection CryptoPunks from previous owner and Bored Ape Yacht Club creator Yuga Labs.
The Foundation, which announced a $25 million grant in April “to build the future of digital art,” will now steward the 10,000-piece Punks collection first created by Larva Labs in 2017, while Yuga Labs shifts back to its “apeish roots.”
CryptoPunks General Manager Na...
Gaming giant Square Enix, the firm behind Final Fantasy and Kingdom Hearts, announced this week that it is expanding its blockchain game Symbiogenesis to Sony’s Ethereum layer-2 network, Soneium.
Symbiogenesis originally launched on Ethereum scaling network Polygon, and is currently wrapping up what’s slated to be its final season of content. But that imminent conclusion isn’t stopping Square Enix from a further affiliation with Sony on the blockchain.
The initiative connects Symbiogenesis with...
Doodles took its next major step forward Friday after switching CEOs in January, launching its ecosystem token—DOOD—on Solana with an airdrop for NFT holders.
The initiative is the first critical launch since Scott Martin, better known as Burnt Toast, assumed the project’s chief executive role, beginning an era in which he planned to introduce more risk while doing away with its previously “extractive corpo” initiatives.
Martin, who is also the artist behind the Doodles brand, previously spoke...