ApeCoin: What Is the Bored Ape Ethereum Token and Who Gets It?

After ape meaning crypto the DAO members vote on the proposals, the APE Foundation will proceed to carry out the community-led governance decisions. The Bored Ape ecosystem merges digital economies with live events, material goods, and a physical community. ApeCoin has been created to harness the economic potential of this ecosystem, which has grown into a billion dollar USD market in a little over a year since its launch in 2021.

What is ApeCoin (APE) and How Do I Use It?

Crypto game maker Animoca Brands has announced plans to integrate APE into a “secret project” that it is developing with the Bored Ape Yacht Club. It appears to be tied into the recent launch https://www.xcritical.com/ of a website (somethingisbrewing.xyz) collecting info from interested parties. For original Bored Ape owners, the 10,094 tokens comes out to more than $80,000 worth of ApeCoin, as of this writing. For Mutant Ape owners, the 2,042 tokens are worth about $16,400 right now. If you own a Bored Ape Kennel Club NFT on its own, then it won’t earn you any tokens.

What is ApeCoin? Exploring The Bored Ape Yacht Club Native Token

The creator of this collection, Yuga Labs, now uses ApeCoin as the primary token in all its projects. These include other NFT series like Mutant Ape Yacht Club (MAYC) and Bored Ape Kennel Club (BAKC). Long story short, an APE ecosystem exists, and ApeCoin is the primary token in this ecosystem. ApeCoin has some actual utility within the APE ecosystem, so it’s more than just a speculative “meme coin”.

ApeCoin (APE) Token Price Prediction and Future Outlook

For example, players of the play-to-earn game “Benji Bananas” can get a membership pass that allows them to earn in-game rewards that they can exchange for APE. The DAO’s decisions are then implemented by the ApeCoin Foundation, which serves as the DAO’s legal representative and supports the growth of the ecosystem in various ways. The Foundation includes a 5-member board made up of luminaries in the world of crypto and tech. The Board is responsible for ensuring the community’s vision is being followed as the ecosystem continues to develop. APE holders vote to determine the Board’s membership on a yearly basis.

The Success of ApeCoin Relies on ApeCoin DAO

• The four founders of Yuga Labs and the BAYC were given 8% of all APE tokens.
• In addition, APE is adopted by Yuga Labs as the primary token for all new products and services.
• This article is not a recommendation by Investopedia or the writer to invest in cryptocurrencies nor can the accuracy or timeliness of the information be guaranteed.
• Finally, 8% or 80 million $APE of ApeCoin’s token supply went to the BAYC founders, locking this amount for 12 months and releasing over 36 months.
• APE is also integrated into Otherside, a self-described “gamified metaverse.” If Otherside incorporates a play-to-earn mechanic at some point in the future, participants expect APE to be the incentive.
• You must’ve heard of the Bored Ape Yacht Club (BAYC), the insanely popular NFT collection.
• Yuga Labs strives to be one of the biggest players in the Metaverse and already created a few retail opportunities.

Otherside was announced on March 18th, 2022 in an official Tweet from the BAYC team. The MAYC collection also intended to welcome more members into the community. The creators did this by releasing 10,000 Mutant Apes for public sale after the serum airdrop. APE is poised to be deeply integrated with Yuga Labs’ metaverse project, Otherside, where it could be used for any transaction within the environment. If Otherside eventually incorporates a P2E mechanic, APE could be given as rewards to players.

What Is ApeCoin (APE) and How Does It Work?

But if you have a Kennel Club NFT plus a Bored or Mutant Ape, you’ll get bonus tokens for holding the dog NFT. The APE Foundation serves as the steward of ApeCoin, as the legal entity.This administrative board oversees decisions made by the ApeCoin DAO. Every wallet address holding ApeCoin can vote on live proposals by signing the vote on Snapshot (In Favor / Against).

Understand the ApeCoin Tokenomics

They can incorporate the token into their services, games, and other projects as incentives. For example, APE is adopted as incentives for players in Benji Bananas, a play-to-earn mobile game developed by Animoca Brands. Benji Bananas offers a Membership Pass (‘Benji Pass’), an NFT that will enable its owners to earn special tokens when playing Benji Bananas, and that will also allow those tokens to be swapped for ApeCoin.

They are given a private set of keys that ensures ownership of the assets. The Foundation appointed the original council and is responsible for administering the decisions of the ApeCoin DAO. At the time of the airdrop, 62% of the tokens were sent to Bored Ape and Mutant Ape NFT holders, 16% to Yuga Labs and charities, 14% to launch contributors and 8% to the founders of BAYC. Not all of the ApeCoin funds were deployed – just slightly over a third of the one billion ApeCoins in circulation. APE is also a tool for third-party developers to participate in the APE ecosystem.

$APE is Not Just for The Yuga Labs Ecosystem

Spend your APE or more than a dozen other cryptocurrencies as easily as cash. The BitPay Wallet is a non-custodial crypto wallet meaning you, and only you, control your ApeCoin. It’s also used by a number of developers outside of the APE ecosystem, such as play-to-earn (P2E) game Benji Bananas by Animoca Brands, which uses ApeCoin to incentivize and reward players.

Some third-party projects are already strategizing the use of ApeCoin. For example, Benji Bananas, a popular mobile video game created by Animoca Brands decided to integrate play-to-earn modularity in which players can earn in-game tokens that can be exchanged for ApeCoin. ApeCoin launched on March 17th, 2022 to power the entire BAYC ecosystem and serve functions like being the governance token for the ApeCoin DAO (Decentralized Autonomous Organization). The token originated from the Bored Ape Yacht Club (BAYC), an NFT series from Web3 company Yuga Labs. The collection features 10,000 unique cartoon ape drawings, each with a distinct look and style, with ownership of each verified on the blockchain. BAYC has been one of the most successful NFT projects to date, enjoying viral popularity including famous owners like Jimmy Fallon and Eminem.

ApeCoin is a decentralized project inspired by Yuga Labs’ Bored Ape Yacht Club project. ApeCoin was founded to be used within the burgeoning APE Ecosystem, which is supported by the APE Foundation. The ApeCoin DAO aims to build and maintain the APE Ecosystem in a fair and inclusive way, providing an infrastructure for ApeCoin holders to collaborate through open and permissionless governance processes. ApeCoin holders govern themselves via the decentralized governance framework controlling the ApeCoin DAO, and vote on how the ApeCoin DAO Ecosystem Fund should be used. The APE Foundation administers proposals agreed upon by ApeCoin holders.

Like the Bored Ape collection, NFTs in the BAKC collection have their unique features and rarities. In April 2022, Yuga Labs started minting virtual land in its metaverse project Otherside. The sale went viral, and helped raise $320 million within just 45 minutes.

Cryptocurrencies, like ApeCoin, are decentralized digital assets that typically act as a proxy for the success of a particular crypto project. Investors purchase them to speculate on a future increase in value. However, cryptocurrencies are a high-risk asset class, so any investment in this market should be preceded with in-depth research into the cryptocurrency you plan to purchase. Meanwhile, developer nWay announced that it will use APE in an upcoming play-to-earn game based on the Bored Ape Yacht Club, while Animoca’s unaffiliated Benji Bananas game will implement APE for token rewards. ApeCoin DAO has said that some future functionality will be reserved exclusively for APE holders, such as upcoming games and services. The Foundation facilitates decentralized and community-led governance and isdesigned to become more decentralized over time.

CoinCentral’s owners, writers, and/or guest post authors may or may not have a vested interest in any of the above projects and businesses. None of the content on CoinCentral is investment advice nor is it a replacement for advice from a certified financial planner. As one of the early investors, Yuga Labs receives a portion of the token distribution. It acts as a sort of corporational parent of the DAO and carries out community-approved proposals, facilitating its development and growth. The ApeCoinDAO and the Ape Foundation are two entities working together to ensure the future of ApeCoin rolls out as the community envisions it. ApeCoin holds an essential role as the de facto currency for Otherside, BAYC’s upcoming metaverse.

APE is a tokenmade to support what’s next, controlled and built on by the community. It willserve as a decentralized protocol layer for community-led initiatives that driveculture forward into the metaverse. ApeCoin also gives access to certain parts of the Ecosystem that are otherwise unavailable, like exclusive games and services. For third-party developers, ApeCoin is a tool to participate in the ecosystem by incorporating ApeCoin into services, games, and other projects. ApeCoin is an ERC-20 governance and utility token used within the APE Ecosystem to empower and incentivize a decentralized community building at the forefront of web3.

Several of these membersvoiced their willingness to join the Board to oversee the decisions of thecommunity and are committed to upholding and furthering the decentralization ofthe ApeCoin DAO. This percentage will continually increase following launch day at regular intervals over a 48-month period. With Yuga Labs adopting ApeCoin as the fundamental token, the community expects more utilities to be added to the token in the future. For example, a staking function for APE HODLers to earn passive income, more GameFi applications, or even collaborations with the other NFT IPs Yuga Labs owns. The APE ecosystem is made up of the community holders of ApeCoin, and all products & services utilizing APE. Since its launch in April 2021, Bored Ape Yacht Club (BAYC) has become one of the most popular NFT collections.

It is tasked with ensuring that the community’s visions are implemented. The Board consists of 5 members from the tech and crypto community, including Reddit co-founder Alexis Ohanian. As a decentralized Board, the initial Board members will serve for 6 months before APE holders vote for new Board members on an annual basis. ApeCoin is mostly used as the governance token for the ApeCoin DAO and for trading at major exchanges.

Alternatively, you could purchase ApeCoin on a decentralized exchange by swapping another cryptocurrency for it. As APE is an ERC-20 token, you could swap Ethereum-based stablecoins or ETH on a decentralized exchange like Uniswap for ApeCoin, for example. Moreover, numerous crypto wallets also offer in-app token swapping, enabling you to swap other ERC-20 tokens for APE. Launched in March 2022, APE is an ERC-20 token utilized for ecosystem governance, utility, and a variety of benefits only accessible to APE crypto holders.

However, the use of ApeCoin is not limited to projects developed by Yuga Labs. Animoca Brands’ Benji Bananas is a play-to-earn (P2E) game in which players can realize their gains in the form of ApeCoin. It is the vision of ApeCoin’s creators that this kind of adoption expands and continues into the future. When the company announced the minting of 55,000 parcels of digital real estate NFTs called “Otherdeeds,” they were priced in APE. In total, Yuga Labs generated more than $300 million through the sale—all transacted in ApeCoin.