Sky Mavis and CyberKongz Plan to Win Together

Disclaimer: I personal a number of CyberKongz NFTs, and I’ve household who work on the CyberKongz management group. I’m writing about this subject as an NFT market analyst who sees a serious shift in NFTs coming as collections merge, partnerships are shaped, and in the end a extra streamlined, extra sturdy NFT ecosystem emerges. Sky Mavis’ Axie Infinity is the #1 all-time NFT assortment, having traded over US$4.2 billion in secondary gross sales. The CyberKongz genesis assortment ranks 26 all-time, and their CyberKongz VX ranks 52.  Mixed, the CyberKongz collections have traded for over US$300 million on secondary markets.

A one-two punch is heading for the NFT ecosystem this week when the CyberKongz return to the blockchain with their first new NFT assortment in virtually two years. Don’t anticipate everybody to throw bananas at them although, as a result of simply as rapidly as these apes swing by means of, they’re taking their NFTs to a brand new house subsequent to Axie Infinity on the Ronin blockchain.

Sky Mavis now has their first PFP assortment and first third social gathering NFT mint coming this week following their announcement that the CyberKongz Genkai assortment can be partially minting on Ronin. Later this yr the CyberKongz present Play and Kollect recreation and belongings, at present residing on a Polygon, can be bridged to Ronin, the place hopefully we’ll see a extra fleshed out recreation be assembled.

The CyberKongz Genkai assortment will face a serious take a look at in a market whose merchants could not have a lot ETH left to spend following Azuki’s US$37 million NFT sale in June. Preliminary suggestions to Genkai’s 0.25 ETH mint worth has been largely detrimental, and whereas that’s to be anticipated given at the moment’s market, just some weeks in the past, many within the house purchased Azuki’s Elementals NFTs for two ETH per NFT. That burn most likely nonetheless stings because the NFT market has seen a steep decline since.

By most metrics the NFT house continues to search out new lows, and now Genkai’s mint could convey one other hit to merchants’ liquidity. International gross sales proceed to fall as we head into the sluggish a part of the yr, and with out income to be discovered on secondary, one has to ask the place merchants will discover funds to purchase into a brand new assortment.

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Whereas it’s price watching the market’s response to a brand new dear mint, most potential consumers of CyberKongz are most likely not anticipating a revenue on secondary instantly. In some ways this week’s mint can be a take a look at of what number of true collectors there are in NFTs versus merchants trying to flip for income. As an alternative, my focus is on Sky Mavis, the builders behind Axie Infinity and Ronin.

Tipping their hand with at the moment’s announcement of their partnership with CyberKongz, my spidey senses are telling me that that is simply the beginning of established NFT tasks coming to Ronin. There are rumors from across the NFT scene that extra tasks want to merge, and whereas none reference Ronin, (some appear to be hooked up to Arbitrum and Pixel Vault’s GG protocol), all of those level to a brand new interval of consolidation for NFTs. For some it’s to outlive, however for the Sky Mavis and the CyberKongz, it’s to develop past what could also be potential on their very own.

Sky Mavis has the attain to assist drive NFT adoption throughout the globe, particularly in Asia, the place players from the Philippines as soon as propelled Axie Infinity to mainstream information. It’s precisely this viewers that Genkai was designed for. Take into account current information from Yuga Labs that Ape Fest 2023 can be hosted in Hong Kong, and also you’ll get an concept of how properly timed the Sky Mavis and CyberKongz partnership could also be. On the very least, it reveals two groups with their finger on the heart beat of the NFT market, and observe information of constructing a few of the NFT ecosystem’s most extremely regarded merchandise.

This can be a pivotal time for NFTs the place many tasks are preventing for survival in a market that provides little revenue and no margin for errors. Maybe now’s the time for them to lean into a few of NFTs strongest use instances, their promise of interoperability and their provenance.

DeGods and y00ts transferring from Solana to Ethereum and Polygon, Gods Unchained from Ethereum to Immutable X, and even Axie Infinity itself transferring from Ethereum to Ronin, and now the CyberKongz transfer all present a shift in the direction of scalability and consolidation. Whereas we gained’t see the outcomes of those strikes for years to return, they are going to function the constructing blocks for a extra full basis for Web3. It’s a basis that can assist NFTs understand their true potential as interoperable digital belongings that make up a extra full Web3. That is the iteration of NFTs that we’ve all been ready for, and it’s solely this model that has the prospect to usher in the lots.

Peep the Charts

• Bored Ape Yacht Membership is king this week with over US$5.4 million in quantity behind large gross sales just like the US$311,000 sale of BAYC #7403.

• Gods Unchained traded over US$4.7 million on secondary markets, pushed by enchantment from the Epic Recreation Retailer.

• DMarket’s US$4.5 million in gross sales additionally reveals that mainstream gaming skins are a sustainable NFT use case. Final week Dr. Disrepsect pulled a US$16,000 knife from a loot field.

• CryptoPunks are again within the prime ten with US$3.1 million in gross sales behind a number of hoody punk gross sales for greater than US$300,000 every.

• PLAYNFT’s reward platform for YouTube viewers offers Binance a prime 10 presence whereas doing US$1.8 million in gross sales.

• After a down week final week, consumers throughout the entire prime 10 blockchains have seen a rise this week.

• Ethereum gross sales quantity is down over 9% however nonetheless is the top-ranked blockchain by NFT gross sales quantity with US$68.2 million in gross sales.

• Solana has been sizzling for weeks, buying and selling over US$5.9 million on secondary.

• Bitcoin, as soon as talked about because the chain to problem Ethereum’s gross sales quantity, is struggling to remain within the prime 5, with US$5.4 million in gross sales quantity.

• Polygon and BNB keep within the prime 5 with US$5.3 million and US$5.1 million in buying and selling quantity.

Noteworthy Happenings

• Pudgy Penguins made a splash at SDCC and founder Luca Netz claims 1000’s of the lovable toys have been bought on the occasion to non NFT holders.

• Proof is launching a brand new PFP assortment of Mythics owls, serving as the subsequent technology or companion to Moonbirds. The gathering will reveal over the subsequent 200 days giving collectors a gamified mint expertise.

• OpenSea launched a brand new on-site buying and selling instrument, giving collectors a royalty, fee-free, and better of all, protected choice to now commerce NFTs with one another. Merchants can commerce a mixture of NFTs throughout collections together with WETH with the accepting dealer paying only a fuel price.

• Opepen continues to be one of the talked about PFP within the house following a number of appearances in Beeple’s Everydays, and influencers altering their PFPs to the recognizable artwork. Jack Butcher launched set 10 of the gathering, and has teased opening up the creation course of to different creators.

• Yuga Labs launched an on-chain licensing platform known as Made by Apes for Bored Ape holders to license their BAYC’s picture for branding. Pudgy Penguins have their very own resolution for his or her holders dropping later this month.