Some rudimentary pixel art just sold for 605 ETH or $ 761,889 when purchased.
FlamingoDAO, a decentralized autonomous organization (DAO) for investing in digital collectibles, is behind Saturday’s stunning CryptoPunk sale. In the CryptoPunk universe there are only nine such “aliens” who pioneered non-fungible tokens (NFTs) in 2017 and are the “holy grail” for an emerging class of art collectors from Ethereum.
Priyanka Desai, representative of the FlamingoDAO community, told CoinDesk that it was by far the most expensive piece of the collective.
“I showed my mom and she said,” What ??? “Desai said in a telephone interview.
Flamingo is a fund with around 40 members and 4,800 ETH in pool capital, said Desai. It has “hundreds” of NFTs in its growing collection, including rare autoglyphs, NBA top shot cards, and lots in various metaverse.
Flamingo’s decision to take advantage of this rare opportunity “was beaten up within 25 minutes,” mostly through Discord, Desai said.
“It’s understandable that people are skeptical of NFTs, but we believe NFTs are the future of not just digital art, but all digital property,” FlamingoDAO said in a statement. “It’s the point of a very large spear.”
A well-known figure in decentralized finance (DeFi), @ 0x_b1, was one of the contending bidders who lost CryptoPunk 2890. In a tweet @ 0x_b1 said it valued the CryptoPunk at around $ 1 million.
The CryptoPunk in question was last sold in July 2017 for 8 ETH or $ 2,127. This equates to a 75x return on investment in terms of ETH (and even in USD).
“People see it as a collector’s item that is pretty significant in the history of NFTs,” Desai said.
The options for realizing a return on investment have yet to be determined by DAO members, Desai said. Aside from future appreciation or possible financialization, “there is also the notion that Flamingo would like to build galleries in different metaverses to display this and other pieces,” she said.