Launched in March 2022, ApeCoin, known by the ticker APE, is an ERC-20 token part of the Bored Apes ecosystem. Created as the governance and utility token of BAYC, the token offers a variety of benefits only available for holders.
The Ape project is looking the help in the growth of the Web3 ecosystem, incorporating not only a token but also art through NFTs, video games, and members while integrating both the digital and real world through events and merch.
What is ApeCoin
ApeCoin is the governance and utility token used within the APE ecosystem to promote the construction of a decentralized Web3 community. The APE token is an ERC-20 token built on the Ethereum blockchain.
If you have been checking the NFT space, then you probably already know that ApeCoin directly relates to the famous NFT project hosted on Ethereum, Bored Apes.
Bored Apes has been one of the most talked about NFT projects, with one of the highest transaction volumes surpassing CryptoPunks. During its peak, ApeCoin's market cap reached more than $7 billion.
But what's Bored Apes again?
Bored Apes, also known as Bored Apes Yacht Club - or BAYC for short - is an exclusive social organization that can only be accessed by owning an NFT from the collection.
According to NFT Stats, the average price of these NFTs is $286,000. To date, the most expensive one sold for $3.4 million.
Owning one of these NFTs grants the owner a series of benefits. For example, it allows owners to claim free tokens, gives access to other NFT collectibles that can be resold in secondary markets, and gives users access to a Discord server where they can interact with other owners.
Among the owners are celebrities such as Neymar Jr, Eminem, Serena Williams, and Stephen Curry, who have come to wear the NFT as an avatar on their Twitter accounts.
Adidas also decided to jump into the NFT and metaverse action and partnered with BAYC to create an exclusive NFT collection.
You can think of bored Apes as the decentralized social club on the Web3 ecosystem.
The ApeCoin token revolutionized the crypto world, growing its price enormously in the hours after it was put into circulation. It hit a high of about $26, according to CoinMarketCap, before falling sharply in the following days.
There are 1 billion tokens in total, and according to CoinMarketCap, about 31% are currently in circulation. Much of the total token supply will be gradually released over the next few years.
And what you can do with APE
This new cryptocurrency was created so its holders can participate in the DAO (Decentralized Autonomous Organization) that intends to take an exciting role in the Web3 universe.
Basically, ApeCoin is looking to fuel the community behind Bored Apes. If a BAYC NFT is a membership to a fancy club, the tokens are the more affordable piece that still allows users to be a part of the party.
Now, let's analyze the proposal behind ApeCoin and what possibilities it will open to those who own it.
APE crypto holders can participate by voting on protocol decisions of the APE ecosystem through the APE DAO. This decentralized autonomous organization is looking to grow and develop all the Ape products.
The Ape DAO, like many others, has a discussion forum where interested parties post and discuss their proposals.
Those that have the necessary consensus will advance to the next step. Voting is only available to ApeCoin holders.
APE is the utility token that powers the APE ecosystem. It's looking to become the shared currency for all the products, services, and projects they are looking to launch. Its mission is to create the "unification of spend" with APE.
ApeCoin will provide exclusive access to certain benefits related to the APE ecosystem, such as:
- Exclusive games
- In-person events
The total supply of tokens is one billion, and not one more ApeCoin can be created or burnt.
The distribution of this token was divided into four main groups.
62% of all tokens were allocated to two groups:
- Bored Apes and Mutant Apes NFT Headlines
- DAO Treasury
The first group received about 150,000,000 tokens, which were claimed on March 17.
Each Bored Ape holder received an airdrop of about 10,094 ApeCoins, while Mutant Ape holders, a later collection from the same creators, received about 2,042.
The second group from this section received a total of 470,000,000 tokens. These were not available from day one, but rather:
- 117,500,000 unlocked at launch.
- 7,343,750 will be distributed monthly for 48 months.
ApeCoin is looking to combine gaming, culture, wreb3, e-commerce, and art in a fun, hip, and somewhat exclusive way.
Through rewards systems and a tight-knight community, the APE ecosystem is redefining what exclusive means.