Azuki floor price tanks after founder reveals link to 3 failed NFT projects in 2021

The laminitis of the Azuki non-fungible token (NFT) project, Zagabond, has revealed that helium was down 3 unsuccessful NFT projects earlier creating Azuki. 

In a blog station titled “A Builders Journey,” helium pointed retired that the lessons helium learned from the 3 projects helped him physique Azuki into what it is today.

CryptoPhunks, Tendies and CryptoZunk

The archetypal task Zagabond created was CryptoPhunks, which parodied CryptoPunk.

While his volition for gathering CyptoPhunks was to person a “project which challenged the assemblage to deliberation astir web3 copyright rules,” among different reasons, not everyone saw it that way.

Larva Labs filed a DMCA takedown claiming this was copyright infringement, starring to the postulation being delisted and relisted aggregate times connected OpenSea. He yet handed the task implicit to the assemblage successful July 2021.

The adjacent NFT task helium created was Tendies. Unfortunately, the task failed to make capable interest, with lone 15% of it minting, starring to the squad shutting down the project.

In Zagabond’s opinion, this task taught him a invaluable lesson. It showed that

Although memes were powerful, they could lone instrumentality america truthful far… a task needed existent substance to make a lasting community.

The adjacent task was CryptoZunk which focused connected creating an NFT task with a unsocial minting experience. He stated that the nonaccomplishment of this task was down to the precocious state fees connected Ethereum, making it precise costly to mint.

Like the archetypal 2 projects, this failed 1 was besides a lesson. Zagabond said these 3 projects taught him that “blindly pursuing the NFT meta doesn’t get you far.” He claims that each the lessons from these projects are present being applied to marque Azuki a success.

Crypto assemblage reaction

The absorption to the station has been diverse. On 1 broadside are Zachxbt and others who judge that this connection is the equivalent of an admittance of rug pulling 3 NFT projects.

The blockchain sleuth alleged that the 3 projects were rug pulls due to the fact that the founders profited from them and subsequently abandoned them. 

Translation: truthful there’s 3 projects you rugged successful the past year

— ZachXBT (@zachxbt) May 9, 2022

Others who supported Zachxbt’s presumption pointed retired assorted instances that beryllium these were rug pulls. There are besides allegations of Zunk devs pretending to beryllium women truthful that they could merchantability the project.

There was NO handoff erstwhile the Phunk devs left

Tendies rugged mid reveal

Zunks larped arsenic women and were dishonest astir the transportation to Phunks (blocking america for asking questions)

If you don't deliberation @ZAGABOND is simply a scam artist, you either clasp Azuki oregon you're a scammer yourself.

— Chopper (@chopper__dad) May 9, 2022

However, immoderate disagree with this enactment of thought and reason that not each failed NFT task amounts to a rug pull. A idiosyncratic stated that rug propulsion lone happens erstwhile the laminitis didn’t mean to make the project.

No, a rug is erstwhile the founders ne'er person immoderate volition of really gathering retired the project. These were projects that conscionable weren’t viable longterm and would person failed anyways truthful they moved connected alternatively than discarded their clip continuing to effort and marque them thing they weren’t.

— Retr0E8ght | Ryan (@Retr0E8ght) May 9, 2022

Azuki level terms plummets

The level terms of Azuki NFTs reacted negatively to the revelation made by Zagabond.

According to data connected NFT Price Floor, the mean merchantability terms of the NFTs was astir 18 ETH astatine the opening of the week but fell to arsenic debased arsenic 10 ETH connected May 10 aft Zagabond’s blog post.

However, the blog station is not the lone origin down the decline, arsenic the broader crypto market has witnessed a monolithic sell-off successful caller days.