Otherside Mint Raises Over $300M USD and Sees Record High Fees of Over $100M USD
The highly anticipated metaverse release from Bored Ape Yacht Club’s (BAYC), Yuga Labs, garners mixed emotions.
On Saturday, April 30, Yuga Labs released its Otherside metaverse collection for minting. Interested parties who previously filled out the KYC (Know Your Customer) identity verification forms were able to participate. While the project still sold out, it did not come without some unanticipated hiccups, including over $100M USD in Ethereum gas fees. This is what the brand had to say about the situation:
We’re sorry for turning off the lights on Ethereum for a while. It seems abundantly clear that ApeCoin will need to migrate to its own chain in order to properly scale. We’d like to encourage the DAO to start thinking in this direction.
— Yuga Labs (@yugalabs) May 1, 2022
In the same tweet, Yuga mentions that it was its hope these challenges would have been avoided “via a rigorous gating mechanism in the form of an on-chain KYC, a max mint of 2 per KYC’d wallet and a significant clearing price at 305 ApeCoin.” Unfortunately, that was not the case and this resulted in mixed reactions from the greater community.
Some argued that the method of release chosen was inconsiderate to those who were looking to enter the BAYC ecosystem for the first time and that the tease of its own chain was distasteful. Others, who are holders in the ecosystem, expressed the significance of the value Yuga Labs has already provided to them via $APE coin as well as other airdrops — and that the 2+ Ethereum in gas fees was a small price to pay in comparison.
One thing both sides of the argument agree on is that the release, as highly anticipated as it was, could have indeed been handled differently. In a more direct apology tweet to the community, one of BAYCs co-founders, Gargamel said: “Needless to say tonight didn’t go how anyone wanted it to. I want to say sorry to the apes, and to everyone else who eagerly looked to join into the project. It’s especially a sour moment since Otherside has been a passion project for so long.”
Even Ethereum’s, Vitalik Buterin, chimed in to say “Don’t think optimizing the contract would help.” … “The only solution is to understand and appreciate economics.” One thing that this situation has made clear is that there is always room for innovation and that hopefully, future NFT releases will use this unfortunate situation as a case study so that history may not repeat itself.
In other NFT news, the Solana blockchain sees a 7-hour blackout.