- BAYC’s royalties and treasury were stored on the FTX US exchange
- Over the past week, floor price and volume both dropped significantly
The NFT The market felt the effects of falling prices, as crypto rates plunged in the last few days. In fact, even Ethereum [ETH] blue-chip collections like Bored Ape Yacht Club [BAYC] Could not count on their popularity as a way to counter the negative effect of the FTX collapse That Market turmoil left it.
Interestingly, FTX’s effect on the NFT collection was given a new twist. This was due to the revelation by NFTGo that BAYC’s floor price decreased about 10% in the last seven days. A quick overview of the collection’s floor price It was 60.79 ETH which is a 2% drop from the previous days.
You might be wondering what the connection is between them.
As reported Wu Blockchian: Yuga Labs, which developed the collection, kept 18ETH in royalties on the FTX.
According to NFTGO the floor price for BAYC has fallen by almost 10% in the last 7 days and the total market value for CryptoPunks has surpassed BAYC. The main reason for this is that the BAYC treasury as well as royalties of over 18k ETH are kept in Blockfolio, which was acquired by FTX.
— Wu Blockchain (@WuBlockchain) November 13, 2022
BAYC in chaos
BAYC was unable to maintain its top position in NFT markets. According to NFTGo Crypto Punks surpassed that collection in terms market capitalization. As of writing, the NFT data trackinger revealed Crypto Punks held 8.57% of total market value, while BAYC ranked second with 7.86%.
Thus, the asset value was depreciated due to the FTX Blockfolio Link. In the same way, traders may have shifted their focus to the Apes and not the Punks.
Source: NFTGo
BAYC, on the other hand, seemed to have maintained the line per sales volume. Data from CryptoSlam It was clear that the collection was at the peak of sales during the last 24 hour. However, the collection’s stay at the pinnacle didn’t reflect an increase in trading volume or transactions.
According to the NFT collections aggregator, BAYC’s volume within the aforementioned period was $1.95 million. This volume was a 36.70% decrease. It is also notable to note that the transaction occurred between 23 buyers, and 20 sellers.
The involvement of traders also indicated a significant decline. It meant that traders were not only affected by the FTX crash, but also less interested in grabbing profits in such market conditions.
Source: CryptoSlam
This saving grace is a blessing!
CryptoSlam reported that ETH NFT sales fell 34.39% in the wider NFT market. The overall sales volume remained at $7.97million due to this drop. It was not just blue-chips that lost the numbers. The broader market sentiment was also mostly negative.
However, the fears that BAYC would not be able to reclaim its royalty and treasury were dispelled. Yuga Labs pointed out that it was able salvage the situation by transferring assets to Coinbase.
Yuga Labs claimed that the ETH asset was stored in FTX USA and that they had moved the entire asset to Coinbase Custody earlier this week. Yuga was not affected in the FTX/Alamade crash despite FTX being a seed investors.
— Wu Blockchain (@WuBlockchain) November 13, 2022