Trading Volumes Spike on Azuki NFTs After Creator Admits to Failed Projects

Azuki founder Zagabond revealed he was part of three failed NFT projects within the past year

article-image

Source: Azuki

share

key takeaways

  • Azuki is the sixth-highest selling collection in terms of trading volume on OpenSea at the time of publication
  • Azuki founder reassured a Twitter Spaces audience that he is fully committed to building out Azuki

An anime-inspired NFT collection of avatars, Azuki, had been serving up some stiff competition among industry-leading collections such as Bored Ape Yacht Club and Clone X since the project’s January launch. 

The digital collectibles, whose prices are plummeting, are now at the forefront of the latest NFT (non-fungible token) controversy.

Azuki’s founder, known as Zagabond, published a blog post about his history prior to launching Azuki, revealing he was behind three NFT collections — CryptoPhunks, Tendies and CryptoZunks — that were abandoned by their founders. 

Loading Tweet..

In response, many Twitter users dubbed the projects rug pulls or scams that were never intended to be built.

One user, @sxtvik, tweeted, “thanks for informing everyone that you’re a serial rug artist, makes everyone really have a lot of trust and confidence in you!” Another user, @pana067, tweeted that any future buyers of Azuki “need Jesus.”

Others, however, defended Zagabond, such as @Loopifyyy, who said CryptoPhunks and CryptoZunks were not scams.

“If someone promises you something and then delivers on that promise, even if it’s just an NFT, they aren’t responsible for working on it anymore,” the user tweeted.

The Azuki founder addressed these concerns in a Twitter Spaces session hosted by NFT influencer Andrew Wang, explaining that these projects were not rug pulls, but rather “there was no product market fit at the end of the day.”

The founder added that any disappointment was a matter of “misaligned expectations” between creators and consumers.

He claimed that as a builder, he’s been trained to experiment and reiterate or pivot as soon as something fails or is deemed unviable, long term, rather than waste time. He admitted that he could have better approached handing off one of those projects.

“It seems that consumers still have an expectation that the team and the developers will continue to work on the project in perpetuity,” Zagabond said. “And as a creative, are you indebted to these community members and this project forever?”

As a result, the price of an Azuki fluctuated heavily on OpenSea, and its floor price has dropped from 21 ether (ETH) since the news broke to 9 ETH at the time of publication. However, volumes and transactions have increased by 998% in the last 24 hours as savvy traders attempt to capitalize on the steep price swings.


Don’t miss the next big story – join our free daily newsletter.

Tags

Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

Mon - Wed, March 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience: Attend expert-led panel discussions and fireside chats Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts.

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Research report - cover graphics (1).jpg

Research

In this report, we dive into crypto private market data to gather insights on where the future of the industry is headed. Despite a notable downturn in private raises, capital continues to infuse promising projects that aim to transform payments, banking, consumer experiences, community, and more, with 2023 being the fourth-largest year for crypto venture capital.

article-image

BUZZ holds shares of Coinbase, Robinhood and MicroStrategy

article-image

Opinion: Even though I didn’t pay for my “Diamond Hands” burger with BTC, don’t let that fool you into thinking that crypto’s development is futile

article-image

The results mark “a major positive inflection point,” one analyst says, as the exchange carries net income momentum into a crypto rally

article-image

While the slate of 10 US spot bitcoin funds have tallied $4.6 billion of net inflows thus far, half of the field is lagging the leaders

article-image

Trading volumes totalled $154 billion in Q4, including $125 billion in institutional volume

article-image

DeFi on Bitcoin is all the rage right now and Stacks is positioned to benefit