ApeCoin Overview: How it Works, Where to Buy APE

Yuga Labs and the ApeCoin Hype

Although the hype around ApeCoin is fuelled by controversy regarding the security of the airdrop as Certik Alert System’s community of security experts reveal the airdrop suffered a flash loan attack, ApeCoin’s surging popularity is also because it is backed by Yuga Labs.

In addition to its overly successful NFT collection, Yuga Labs also recently announced the purchase of the IP rights to the Cryptopunks and Meebits NFT collection. While BAYC is a popular NFT collection, Cryptopubks and Meebits have also had their time in the limelight; thus, the acquisition puts the most lucrative NFT collection under one roof.

What’s more, Yuga labs has also raised $450 million, bringing its valuation to $4 billion in a funding round that was led by top venture capital firm Andreessen Horowitz and video game maker Animoca Brands, not to mention top crypto companies such as Coinbase and MoonPay.

With the funding received, Yuga Labs plans to build its metaverse with ApeCoin as the platform’s main fungible token.

An Overview of Bored Ape Yacht Club (BAYC)

Bored Ape Yacht Club (BAYC) is by far the most valuable NFT collection available. With apes featuring different properties, varying fur types, clothing, accessories, and facial expressions, to mention a few, NFT enthusiasts continue to bid on these NFTs, and an ape from the BAYC even made it to the cover of Rolling Stone Magazine.

The BAYC NTF collection has been bought by celebrities such as Mark Cuban, Serena Williams, and Snoop Dog. At the moment, one particular sad-looking ape that is part of the 10,000 BAYC NFT collection is people bidding upwards of $330,556 though it is unlikely that will be the winning bid.

Launched on April 23rd, 2021, as Yuga Labs’ first NFT collection, each ape in the BAYC collection sold on the primary market for 0.8 Ethereum, which was currently worth around $200. The current floor price of BAYC is over 100 ETH.

What makes BAYC NFTs valuable is rather subjective, as value is pretty much in the eye of the beholder. However, the rising popularity can be attributed to the influence of celebrities coming on onboard, the strength of the BAYC community, and the utility that comes with owning a BAYC NFT, such as receiving APE token airdrops. What has kept audiences excited about Bored Ape Yacht Club is the tons of utility built around the project.

Last November, BAYC NFT owners got to attend a weekend of festivities that featured approaches from popular artists such as Aziz Ansari, Chris Rock, and The Strokes. Apart from owning BAYC NFTs, members have also enjoyed minting new NFTs that are just as valuable in the form of Mutant Ape NFTs and the Bored Ape Kennel Club.

What is ApeCoin?

ApeCoin is an open-source protocol and the latest entrant into the Bored Ape Yacht Club. Unlike BAYC, this is not an NFT project; rather it is a token economy around the upcoming metaverse game soon to be launched by Yuga Labs and is governed by a decentralized autonomous organization (DAO).

At its core, ApeCoin is a voting share for the Bored Ape ecosystem. By simply holding APE, anyone can become a member of the DAO and propose an Ape Improvement Proposal request that will influence the rules, partnerships, governance, and other functions of the ApeCoin DAO.

Built on the Ethereum blockchain, ApeCoin is a fungible ERC-20 token designed to empower decentralized communities in building at the forefront of Web3. The APE token serves several purposes, including governance, access to certain parts of the APE ecosystem, incentivization to third-party developers, and a unit of spend throughout the APE ecosystem.

ApeCoin is neither inflationary nor deflationary. There will only ever be 1 billion APE tokens in circulation. From this amount, 8% will go to Yuga Labs founders. A 14% share is allocated to companies and people that contributed to the launch, 16% will go to charity plus YugaLabs and the remaining 62% will split between the DAO’s treasury and ecosystem airdrops.

How to Buy ApeCoin

As mentioned, ApeCoin is listed on multiple exchange platforms such as Binance, Coinbase Exchange, FTX, and also on Uniswap DEX (decentralized exchange).

Follow these steps to purchase in a minute:

Step 1:

Open an account with a crypto exchange if you don’t already have one. This is a simple process that will require you to have an email address for account verification.

Step 2: 

Next, deposit funds into your crypto exchange account and buy some cryptocurrency, preferably a stablecoin. APE is paired to several stablecoins on multiple exchanges such as USDT, USDC, and BUSD.

Step 3:

With a stablecoin in your account, search for APE paired to the stablecoin in your account and make the purchase. Once the transaction is complete, it is best to move your APE tokens into a hardware wallet.

Best ApeCoin Wallets

As APE is an ERC-20 token, the best non-custodial wallet to use is MetaMask. This wallet allows you to link your wallet address to a hardware wallet such as the Ledger Wallet thereby making secure storage much easier. You can also store your APE tokens on the Trust Wallet or MyEtherWallet.

Is ApeCoin a Good Investment?

Making an ApeCoin investment is similar to taking a bet on the future success of Yuga Labs. At the moment, the company is valued at a $4 billion valuation yet it has barely been around for a year.

Regardless of what happens to the price of ApeCoin it appears likely that Yuga Labs will be around for years to come thanks to their upcoming metaverse game.

Conclusion: The BAYC of Tokens

NFTs are here to stay, and the APE ecosystem with its NFT collection and decentralized ecosystem is a sure bet for anyone looking to benefit from the future of a Web 3 enabled internet. As the excitement and hype around BAYC’s NFTs continue, various members of the club are already expanding the platform by customizing the NFTs they own in all sorts of ways. What’s more, Yuga Labs is partnering with various game studios to bring NFTs to life and expand the utility of their platform Bored Ape NFT holders.