Punks are an unfathomably valuable asset, a symbol of status, and a chunk of web history. Maybe they are the most significant NFT initiative ever. There is nothing as Punk in NFTs as owning a CryptoPunk.
The CryptoPunks’ journey to a non-fungible domain is intertwined with the history of NFTs and the Ethereum blockchain. The well-known epitome project, such as Bored Ape Yacht Club (BAYC), is directly relevant to the CryptoPunk mold. However, the mainstream media industry is still far away from roping in NFT benefits.
CryptoPunks: An Introduction
The CryptoPunks is a collection of unique, casually drawn 10,000 characters algorithmically created in 24×24 pixel art graphics. Most CryptoPunks are digital images of boys and girls, with images of zombies, apes, and the odd alien recently blended in.
Every Punk owns a profile page displaying their attributes and present status. In addition, specific individuals formally own the CryptoPunks on the Ethereum blockchain.
The initial visualization was to allow anyone with an Ethereum wallet to claim CryptoPunks for free; however, it only took flash seconds to grab all the 10,000. As a result, they are now available on a blockchain-enabled marketplace for purchase. Such a marketplace allows you to bid and trade punks.
What is happening?
Bitcoin made cryptocurrency trading famous, although creating Bitcoin was solely to transact and store Bitcoin ownership. Larva Labs uses Ethereum, a Bitcoin successor that allows random computer code to be run on the blockchain and saves the outcomes forever. This is fantastic!
Normally, code is run on a server, and you must trust the person in charge of that server. Everyone may run the code, display the results to each other, and verify that it was proper and fair.
The existing written codes on the blockchain, by blockchain developers allow the trading of Punks with anyone in the world. The fact that nobody can control the code executing Crytopunks is an interesting part of the system.
It is indefinitely embedded on the blockchain platform after its release, and no one can alter the codes. However, this is concerning the developers since detecting bugs is also important. But doesn’t this make the system more secure and less vulnerable to threats?
It allows the users to cross-check and ensure that only 10,000 punks exist, that stealing them is beyond imagination and that everything claimed about the code is accurate.
Birth Of CryptoPunks
CryptoPunks, which was launched in June 2017 by-product studio Larva Labs, is one of the first NFT collections on the Ethereum blockchain, with 10,000 unique 24×24 pixel art images featuring people (male and female), apes, zombies, and aliens. Each Punk can have a unique combination of 87 attributes or traits as they are commonly known. Some punks can have no traits at all, but the most a single punk can have is seven.
“What makes CryptoPunks significant is that an organic community evolved around them. They have left their footprints as one of the inaugural NFT projects on Ethereum – and they were free to claim from the start,” according to GMoney.
Punks slowly began, assembling a group of collectors trusting in the technological capabilities that the Ethereum blockchain had to offer, while the NFT field was far from the bustling market that it is now.
They were first handed away for free to anyone who wanted them. Because you needed an Ethereum wallet to get one, it was only available to individuals who had already engaged in cryptocurrency.
Since 2017, CryptoPunks has evolved from a small, niche online craze to the be-all and end-all of NFT initiatives. While it was not the first NFT project on Ethereum, it is without a doubt the most influential.
Many of those who have been strong enough to hold are now multi-millionaires, and those who were fortunate enough to buy in before the 2021 mania are some of the most forward-thinking people in the NFT industry.
Bear or Bull: The Punk market projection
CryptoPunks will surely encounter those new to the NFT space sooner or later. And when they do, they’ll realize one thing: punks are a precious commodity.
For example, Alien Punk #3100 was sold for 8 ETH ($2,127) on July 6th, 2017. This would have looked like an exorbitant fee to pay for a JPEG at the time. However, on March 11th, 2021, that same Punk sold for a whopping 4,200 ETH ($7.58M) almost four years later.
Although this is the largest Punk sale to date (for the time being), 100x flips were far from rare during the CryptoPunk bull-run of 2021. Throughout the year, Punks sold for as little as 7 ETH in the NFT community, only to skyrocket in the fall, with even the lowest accessible Punks costing over 100 ETH.
Christie’s, the auction house, deserves a lot of credit for helping to create the Punk market by introducing Punks to those who work in more traditional art locations. Christie’s organized an event for displaying a collection of nine CrytoPunks in May 2021 that sold for a jaw dropping amount of $16.9 million. This event was a follow-up to the $69 million Beeple sales in March 2021 by the auction house.
Worth of Punks: A Status Symbol
Punks are valuable for reasons other than their price. CryptoPunks have evolved into not simply works of art but also investments and status symbols.
Owning a Punk, some believe, is like betting on the relevance of NFTs and the Ethereum blockchain, considering their history of progress and expansion alongside the Ethereum network. The majority of Punks’ early supporters didn’t come upon the initiative by chance. “You had to be there in crypto earlier on to get involved with CryptoPunks,” GMoney said.
Punks are frequently portrayed as innovators and pioneers on social media, assuming trust and prestige. As a result, collectors have created entire acts, projects, groups, and brands based on just one Punk.
Public figures, investment firms, and even hedge funds have been flocking to the CryptoPunks race in full force, regardless of the social-to-financial value ratio. So it’s difficult to dismiss an initiative that turned collectors into millionaires in a matter of weeks.
Process for getting a Punk
If you are planning to purchase a CryptoPunk but don’t know how to start, then just follow these steps:
- Firstly, you need to download and install Metamask, a Chrome browser addon. This grants access to your Ethereum account to websites that you authorize.
- Secondly, purchase some Ether if you have recently created a new account. A built-in Metamask button allows you to purchase Ether from Coinbase.
- Once you’ve installed the plugin, this website will detect it and add buttons to the interface that allow you to bid on, purchase, and sell punks. Punk #2524, for example, may be purchased for 67.98 ETH ($262,552.35 USD).
CryptoPunks in the Long – term
CryptoPunks is already a landmark project in the NFT sector, despite being only a few years old. For a long time, all necessary information regarding the project has been available to the public. Punks were born on the Ethereum blockchain and will continue to live there perpetually, so it’s reasonable to believe they won’t change.
Punks will always be a landmark project, which is excellent for both its founders and collectors, given the rapid growth of the NFT area. “CryptoPunks will continue to be a major pillar of the NFT community,” GMoney says. They don’t need to change or experience anything in order to seal their place in history.”
Yet, within the Punks environment, creativity is still a novel concept. GMoney, Beanie, and Punk4156, all well-known community members, have built their own distinct identities around their Punks. While these three have used their Punk personalities to gain prominence, there are a few things to keep in mind when it comes to monetizing a CryptoPunk.
The application of copyright law to non-profit organizations is yet uncharted ground. Creators can easily define their own collector usage thresholds based on where and how they mint an NFT, and most – including Larva Labs – choose to get an NFT license.
Furthermore, Punk owners can sell their Punk products and earn up to $100,000 every year. The drawback to this agreement is that owners are not allowed to change the art of the 24 x 24 Punk or sell third-party items with it.
The most intriguing aspect of the CryptoPunks quest is that it is too early in the game to properly understand the ecosystem, leave aside the applications that are yet to be envisioned. NFTs have stirred the world’s thought process about media, art, community, and consumer rights.
Given that NFTs are sometimes seen as a marginal and transient movement, it seems only natural that the space’s mascot is a punk. And if crypto degenerates govern the world in the future, branding a Punk could just be the best praise you can get.
If you are still wondering about the NFT and the whole concept, you can always look out for expert advice. However, creating self-awareness is very beneficial in the long run. Depending upon your requirements you can filter out some cryptocurrency courses and enrol in the best one.