Bored Ape Yacht Club – The Mega-Hype Surrounding the NFT Monkey Gang

When it comes to the digitization of art and new revenue opportunities for digital designers and artists, NFTs still dominate the headlines. Recently the subject of considerable controversy and with fluctuating value, it is primarily the bored-looking cartoon monkeys that one encounters more frequently these days.

One of the most prominent NFT collections was created by the Bored Ape Yacht Club (BAYC) . The hyped monkeys have been purchased by superstars such as pop icon Madonna, Eminem, Justin Bieber, Paris Hilton, Neymar, Stephen Curry, Jimmy Fallon, and Post Malone.

What are NFTs and the BAYC about?

In the art world last year, it seemed impossible to go far without encountering the topic of NFT ( Network Fast Techniques). Some say it's the future of digital art, nothing less than a revolution in the art market; others argue it's a climate-damaging bubble.

We have already reported extensively on the NFT trend .

The Bored Ape Yacht Club, or often colloquially called Bored Apes or Bored Ape, is a non-fungible token collection built on the Ethereum blockchain. The collection consists of profile pictures of cartoon monkeys, procedurally generated by an algorithm.

The creators of these digital works have amassed billions thanks to the success of the cryptocurrency Ethereum. Meanwhile, however, suspicions are growing that these expensive images could be part of a right-wing trolling scheme.

Keith Martin – a prominent example of a successful Bored Ape NFT investment

Keith Martin, the marketing entrepreneur and NFT collector who is now often cited as a success story, told Business Insider in an how he got his first monkey and has since multiplied his investment.

Last May, Martin bought his first Non-Fungible Bored Ape Yacht Club token for less than $500 and was almost certain of a profitable deal. After all, the market was just beginning to boom at the time. In reality, things turned out differently – and Martin suffered a significant loss.

Martin, who goes IllusiveApe , didn't give up so easily and shortly afterwards acquired another NFT for about $1,700 or 0.64 ETH (Ether), this time with the firm intention of keeping it. He firmly believes in the future of digital assets and wanted to be involved in future developments as an Ape owner.

At that time, one Ether token was worth approximately $2,700. After a temporary crash of the cryptocurrency, Martin's valuable Bored Apes NFT is now worth approximately $111,000 at current market prices. Martin's NFT transaction records were reviewed by Business Insider.

Since then, Keith Martin has not only been a proud Bored-Ape NFT and CryptoPunk NFT art , but also a Web3 pioneer . Web3 is an innovative concept for a new kind of World Wide Web that combines blockchain, smart contracts, and decentralized applications, and is based, among other things, on a token economy.

NFT explains: Is digital art just a hype?

The bear market – What's next for cryptocurrencies and NFTs?

NFTs had a record year 2021 , skyrocketing to dizzying heights almost overnight. However, according to NonFungible.com, revenues have fallen by more than 80 percent since their peak in January, through mid-2022. The gold rush is therefore over for now.

The market capitalization for cryptocurrencies has also fallen below the one trillion dollar mark in the meantime, after climbing to over three trillion dollars last year.

But even amidst the current bear market, Martin and many other bright minds from computer science, IT, and the arts believe in the continued rise of cryptocurrencies and the emerging NFT ecosystem . They consider the current downturn a temporary market correction and intend to stay on course by accumulating NFTs.

Buying NFT Tokens – Here's how it works

As reported in our articles from last year, the then almost unbelievable sale of the digital collage by NFT artist Beeple for over 69 million euros established the popular market of NFTs as we know it today a year later.

The hype surrounding NFTs initially gripped mainly crypto geeks and IT nerds, but then spread like wildfire to all segments of the population. Even big names from television, sports, and music are now involved. Tom Brady, Neymar, Mila Kunis, and musician John Legend are just a few of many.

Would you like to come on board and get your piece of the pie?

Thanks to user-friendly marketplaces, NFTs are now accessible to the general public. The consultants at Langguth Consulting, for example, can explain where to buy NFT tokens or even how to create your own cryptocurrency. At the same time, the consulting firm's experts also offer support in setting up a crypto wallet or even in obtaining debt financing through cryptocurrencies .

If you don't want to work through our detailed article on NFTs, we are happy to provide you with a brief introduction to the topic here:

How do NFTs work?

NFTs (pronounced: Non-fungible Tokens) are unique strings of code on the blockchain that are one-of-a-kind and cannot be copied. This allows a digitally created work to be unambiguously signed and linked to ownership.

The currently hyped tokens are primarily linked to JPG or GIF images. But an NFT token is much more than just an image. Behind these projects is often a company that offers benefits such as invitations, merchandise, and much more in exchange for purchasing an NFT.

Currently, the most well-known NFTs are probably the projects Bored Ape Yacht Club, CryptoPunks and the sports equipment manufacturer Adidas.

Because NFTs cannot be copied or altered, they are suitable for tracking ownership of non-replicable assets, such as the rights to an image. This technology is used for acquiring digital art, music, and sporting events.

Where can you buy NFTs?

crypto wallet is required to purchase tokens . This can be thought of as a kind of custody account, similar to how stocks are held. It's possible to transfer NFTs directly from wallet to wallet, i.e., to trade directly with owners. However, selling via marketplaces has proven to be the most effective method, as these platforms provide the ideal framework for this.

This allows any user with internet access and little IT knowledge to participate in the crypto market. Besides the dominant market leader OpenSea, there are numerous smaller marketplaces, such as Mintable, NBA Top Shot, crypto.com, Binance, Nifty, Rarible , and Superrare .

However, since there are also many unscrupulous operators in this field, caution is advised when dealing with lesser-known providers and operators. A brief internet search is always worthwhile and helps avoid falling victim to scams.

How does the purchasing process work?

As mentioned earlier, a wallet is the first requirement. This can be set up relatively quickly using a smartphone.

Most non-fungible tokens (NFTs) are purchased with the cryptocurrency ETH from the Ethereum network . This currency is traded on all major marketplaces. It can therefore be acquired on Coinbase, Binance, Kraken, FTX , and many others in exchange for fiat currency. Once ETH is in your wallet, you can then use it to buy NFTs on these marketplaces. Bitcoin is also used to purchase NFTs , but it is less popular than ETH.

How can one buy a Bored Ape NFT?

2021 will undoubtedly be remembered as the year of non-fungible tokens (NFTs). One of the best-known projects is the aforementioned Bored Ape. Part of its success likely lies in the fact that the project skillfully combines aspects of community, exclusivity, and social capital. So, how can one buy a Bored Ape NFT?.

Step 1: Ethereum

Even when buying a Bored Ape, everything starts with acquiring the cryptocurrency Ethereum , because the Bored Ape NFTs are created on the Ethereum blockchain.

For this purpose, you need an account with a cryptocurrency exchange such as Binance , Coinbase , or Gemini . Alternatively, you can also buy Ethereum directly from a Web3 wallet. Once you have set up an account on one of these platforms, you can fund it and then immediately buy ETH.

Step 2: Wallet

The second step requires a so-called wallet. MetaMask is the most commonly used software wallet for purchasing NFTs . This is because the software wallet can be easily set up as a Chrome extension and connected to OpenSea.

Once you've purchased ETH on a trading platform, you need to transfer it to your MetaMask wallet. To do this, you first need to find your MetaMask wallet address. This is a string of 64 letters and numbers displayed in the wallet. You can send the ETH you bought on Binance or Coinbase to this address.

However, always keep gas fees in mind for these transactions. Every cryptocurrency transfer incurs a network fee that shouldn't be overlooked.

Step 3: Off to OpenSea

With funds in your MetaMask wallet, you can now purchase an NFT. To do this, you need to create an account with OpenSea . The wallet acts as your username when connecting directly.

Now nothing stands in the way of purchasing a Bored Ape NFT, as all Bored Ape NFTs can be found on OpenSea. If no instant price is displayed, it is an auction.

Once you've successfully acquired the NFT, it's stored directly in your wallet after purchase. Linking your wallet to OpenSea also allows you to see the NFT directly in your account overview.

Have your own cryptocurrency created

It's a completely different ballgame if you want to create your own cryptocurrency from scratch and then launch it on the market. But what are the motivations for taking such a step, and for whom is a custom cryptocurrency even suitable?

In principle, companies, startups, or solopreneurs create a cryptocurrency when they have an innovative idea with high potential that isn't supported by conventional financing methods. Companies that create a cryptocurrency aim to finance the underlying idea through investors via an Initial Coin Offering (ICO ). This process is similar to crowdfunding.

ICO stands for Initial Coin Offering . In some cases, IPCO is used – Initial Public Coin Offering. Token Sale is also used synonymously.

All these methods have in common that they are blockchain-based financing methods similar to crowdfunding. In some cases, ICOs are compared to a company's initial public offering (IPO). The issuance of coins is similar to the distribution of shares when companies go public.

For this complex process, a reliable and experienced partner is almost essential. The question of whether a company should have a cryptocurrency created cannot be answered in general terms. It requires a thorough analysis of the business model and its success forecasts.

Langguth Consulting will also provide you with advice and support on this topic until the introduction of your own cryptocurrency.

Create (or have created) your own NFT

Let's move on to the last section about business models and revenue potential based on blockchain technology.

Are you a creative professional – for example, as an artist, designer, musician, or athlete – and would like to have your own NFT created or even create it yourself?

Creating a NFT naturally requires artistic and/or creative skills. To maximize its economic potential, it's also advisable to choose a trending topic that will generate increased attention for your NFT.

Basically, any visual (JPG, PNG, GIF, etc.), audio (MP3, etc.), or 3D file (GLB, etc.) is suitable as the basis for an NFT. Let's briefly walk through the 6 steps to your first marketable NFT :

Step 1: Choose an NFT marketplace

This is the very first step in creating your NFT artwork. There are two categories of these peer-to-peer marketplaces you can choose from:

Curated platforms : This NFT marketplace category only allows authorized artists to mint or create digital art tokens. They primarily focus on high-quality digital art tokens, not simple and low-quality collectibles.

Platforms like SuperRare are curated NFT marketplaces. They have higher transaction fees and less flexibility in the royalty percentages you program .

Self-service platforms : This category of peer-to-peer marketplace allows anyone to create their NFT with whatever they want. You can create yours with a photo, video, or audio file. You can also set the percentage of royalties you want to charge for each token sale.

Platforms like OpenSea and Rarible fall into this category.

Once you have selected the marketplace you wish to use and opened an account there, it's time for the next step.

Step 2: Set up a digital wallet

The next step is to create a digital wallet to store both your cryptocurrencies and your NFTs. Yes, cryptocurrencies, specifically Ether, are required in the NFT creation process.

OpenSea usually recommends using the MetaMask cryptocurrency wallet's Google Chrome extension to buy your ETH and prepare to mint NFTs.

Let's assume you already have another cryptocurrency wallet containing ETH. In this case, you can create a MetaMask wallet and transfer the ETH from your original wallet to the MetaMask wallet.

It costs roughly £10 to £200 in ETH to pay the gas fees while creating an NFT. So, if your money is ready, proceed to the next step.

For the sake of simplicity, we will below explain how you can proceed using the OpenSea marketplace as an example.

Step 3: Create your first collection

At this point, you are not yet creating a digital art token. On your OpenSea account interface, you will see the menu item "My Collections" . Click on it. It serves as storage or a gallery for your digital art.

Now you need to customize your collection by giving it a name, writing a description, and uploading a display image. This lays the foundation for showcasing your artwork once you've finished creating it.

Step 4: Create a Digital Arts token

Once you have successfully completed your collection, it's time to begin the primary process of creating your NFT. Click on Add New Item, and you will be given the option to upload metadata, including visual (JPG, PNG, GIF, etc.), audio (MP3, etc.), and 3D files (GLB, etc.). You can also name your token here.

You can mint an unlimited number of tokens. Also consider how many editions of the same token you want to create.

Standalone token : This means that you can only create one copy of this particular digital art token, making it even more valuable.

The Edition Tokens: Here you create as many copies of the same token as possible. You only need to add the edition number to differentiate between the individual replicas.

Next, you can optionally add properties, levels, and statistics, as these allow buyers exploring your collection to filter your artwork. Properties can include things like the date you created the token.

Once you have added all the necessary details, including social media links, an updated image, a description, and a name, click "Create" to add your NFT to the blockchain. Gas fees will apply.

Next, you can select the payment tokens you wish to accept for your digital art. You can also choose the percentage of royalties you wish to receive for the resale of your artwork.

Step 5: Listing your artwork for sale

Once you have created your NFTs, the next step is to offer them for sale. You can choose either a fixed-price offer or an auction and set your price.

If this is your first time creating and selling an NFT, you will need to pay a gas fee before listing your artwork.

Step 6: Promote your work on social media

To increase your chances of selling your digital artwork, you should build a substantial following on social media. Then, share your direct link with potential buyers and promote your artwork to your fans on social media so they can discover it – and ideally, buy it.

Can you create NFT art without programming knowledge?

The good news for all non-IT people: they can create their NFT art without having to write any code.

The step-by-step guide provided above is a typical example of creating a digital art token without coding. It is beginner-friendly and will put you on the right track to defining ownership rights to your digital art trademarks and casting them into NFTs.

Meanwhile, some NFT platforms also offer their own guides, tutorials, and how-tos. You can also find help on YouTube if you need it.

However, if you are serious about building a profitable NFT art collection, then you should seek professional advice and support. The market is now highly competitive, and there are several pitfalls on the road to success. The experts at Langguth Consulting are happy to assist you with advice and practical support.