After the purchase of Larva Labs, Yuga Labs has moved on to the next big thing; creating its own cryptocurrency!
Yuga Labs is building out its empire and, like any respectable business, is setting up its own currency. Since we are in the digital age, the NFT-based company has decided on cryptos, which will be appropriately named ApeCoin, obviously derived from the name of the NFT collection that made it a household name.
The company announced that ApeCoin would be the primary token for all its new products and services.
Meanwhile, Yuga Labs also announced a blockchain-based game coming later this year that allows you to play to earn. It is being developed in collaboration with nWay.
As such, ApeCoin will debut in the game. However, it will eventually spread to other endeavors by Yuga Labs. ApeCoin support has been added to a game called Benji Bananas, owned by nWay’s parent company, Animoca Brands. Most likely, support for ApeCoin will show up in other titles owned by either Animoca Brands or nWay before it becomes a general-purpose currency. Yuga Labs plans to let users fund events and merch, apart from games with ApeCoin.
However, despite owning the crypto, ApeCoin will function separately from Yuga Labs. The crypto will be controlled by a community-governed entity known as ApeCoin DAO, which will be funded by the sales of ApeCoin, of which 1 billion will be made available. The legal parent of ApeCoin DAO is the Ape Foundation and has as board members Alexis Ohanian from Reddit and a co-founder of Animoca Brands.
That doesn’t mean Yuga Labs won’t be able to make decisions concerning Ape DAO as it has significant shares in the entity. The company will own about 15 percent of all ApeCoins, or 150 million. Another 8 percent will go to the Bored Ape Yacht Club founders. Another 15 percent will be offered to owners of Bored Ape NFTs, while people or organizations that contribute to the launch of ApeCoin will own 14 percent. The rest will be available to the general public.
Bored Ape Yacht club is easily the largest NFT entity globally, a position it consolidated with the purchase of Larva Labs earlier this month, adding CryptoPunks and Meebits to its NFT collections. It has overseen sales worth millions and has been associated with many celebrities who also attend the events it organizes.
Yuga Labs is taking its expansion seriously, and it is not restricting itself to NFTs alone as it has taken on games and other media. With cryptocurrency added to its portfolio, the company is further entrenching itself as the center of the NFT universe.
At any rate, with Yuga Labs’s backing, ApeCoin looks here to stay, unlike some cryptos that had been promoted by celebrities which ended up being nearly worthless after the creator cashed out in a scheme known as pump-and-dump.