The craze for NFTs is completely justifiable as the monetary value as well as the popularity rise with every moment. However, with so many different NFT projects, it can be hard to decide which one to invest in.
That being said, you have probably already heard about the NFT project called CryptoPunks. In this review, we will cover everything you need to know about CryptoPunks, as well as every necessary step you need to take to obtain one for yourself. So, if this caught your interest and you wish to learn more without more delay, let’s begin the review.
What Are CryptoPunks?
With blockchain technology being available to everyone who is willing to learn about it, artists, musicians, and creators alike started creating NFTs to make interesting collectibles for the blockchain. The most represented form of NFTs today is art in general, with the rise in popularity of digital collections. One of those collections is CryptoPunks.
Being one of the first NFT collectibles minted on the Ethereum blockchain back in 2017, CryptoPunks pioneered what today’s market is. Basically, they are collectibles represented in the form of pixelated characters in many different shapes and forms, with the majority being human with a lesser variety of apes, zombies, and aliens.
That being said, human CryptoPunks, being the most common, are sold for less compared to the rarer, harder-to-obtain non-human variants.
There are 10,000 CryptoPunks in existence, and with the owners not being able to mint new ones, the number of CryptoPunks will never rise above the current amount.
How was CryptoPunks started?
The CryproPunks project was developed and created by Larva Labs. Larva Labs is a development team consisting of two people that previously used to work on many different projects ranging from games for mobile phones to utility programs for the web infrastructure to digital art and design in general, which ultimately helped them create CryptoPunks that we all know and love.
The team drew inspiration from many different movies and novels that had the cyberpunk theme as well as from the London punk scene to create a pixelated character generator. With this, back in 2017, they managed to create 10,000 characters on the Ethereum blockchain, all unique in their own sense.
At that time, the creators offered CryptoPunk NFTs to anyone who was even remotely interested in them for free. That being said, the only thing they had to pay for was the gas fees for the computing energy. Considering that back then, the gas fees were only a fraction of what they are today due to the rise of popularity for DeFi and NFTs.
The developers left 1,000 CryptoPunks as their own, and the remaining 9,000 were claimed extremely fast. As we mentioned that there will be no new CryptoPunks minted, the only option you have to obtain a CryptoPunk is to buy it from someone who already owns one.
What makes CryptoPunks special
With all the craze and hype around the CryptoPunks, you must be wondering what makes them stand out above the rest. That being said, there are several things that make them special.
As we already mentioned above, CryptoPunks were amongst the first NFT projects that came to the Ethereum blockchain. It was established well before other popular projects you might have heard of, such as CryptoKittes, and because of that, the general value of CryptoPukns is higher.
Furthermore, with the number of CryptoPunks being only 10,000, without the possibility that the additional ones will be created, the sheer demand for them will remain the same if not higher with each passing moment as more and more collectors will want to own their personal CryptoPunk.
When it comes to the CryptoPunks themselves, depending on their attributes, they have value changes, some being more valuable compared to others. For example, there are eight CryptoPunks that do not have any attributes, 9 aliens, 24 apes, 44 have a beanie, 48 have a choker, 78 have buck teeth, and 128 have rosy cheeks.
One CryptoPunk that has several rare attributes sold for more than $7.5 million. That being said, the attributes are not the only thing that brings value to the CryptoPunk, the value can come simply from the likeness of the portrait and how it looks.
How to buy a CryptoPunks NFT
If everything we said so far has piqued your interest, and you decided to purchase your own CryptoPunk, here is what you need to know before you begin the purchase.
Basically, a crypto wallet is an individual address based on the blockchain that is available for everyone to see but for which only you possess access. Upon setting up your wallet, you will need to acquire Ethereum or ETH for short. To get there, you have several options.
First, you can buy Ethereum from the wallet if they offer such services, if that is not the option, then the second choice is to send Ethereum that you already have on some other cryptocurrency exchange to the said wallet. We recommend you use Coinbase or Binance as they are well established and safe.
One thing you will need to do is check if your wallet works with the web browser you are currently using through its extensions. After all of this, you should have the necessary Ethereum to proceed and acquire your own CryptoPunk. To see what CryptoPunks are up for sale, you can go to the Larva Lab’s official website.
Upon finding your desired CryptoPunk, you need to select it by clicking on it, after which you will see the buy button appear. After clicking the buy button, the browser you are using will request you to connect your wallet and green-light the transaction. Upon confirming that the transaction will go through, you will receive your CryptoPunk in your wallet. The Ethereum will be sent to the previous owner.
STEP 1: TURNING YOUR CASH INTO ETH
If you do not possess any Ethereum and you wish to buy some, here is what you need to know before you begin.
As you already probably know, CryptoPunks are based on the Ethereum blockchain therefore, you need ETH for you to be able to buy them. Here we will explain how to acquire ETH with cash.
There are several options available for acquiring ETH. As we mentioned before, we recommend the crypto exchange Coinbase because of its popularity and safety. Coinbase being a centralized exchange means that your funds are kept by them, but worry not as it is a trustworthy exchange used everywhere in the world.
Setting up your Coinbase account
After you finish the process of setting up your Coinbase account, verification, and all that, you now have an option of buying ETH with either a debit card, wire, or bank transfer. These options may be different depending on the country you reside in. Usually, connecting your bank account is considered the fastest for setting up everything. Finally, you can buy ETH and proceed to the next step.
STEP 2: MOVING YOUR ETH INTO A CRYPTO WALLET
The second step, after acquiring ETH, is to move said ETH to your digital wallet.
I already own Ethereum. Why is this step necessary? You might ask yourself these questions. Think of it this way, the Ethereum you own is, like we said above, kept safe by the Coinbase platform, so for you to be able to use that crypto and pay for the stuff you want, you will first need to transfer your funds into your crypto wallet.
Upon transferring your assets to your wallet, you and only you have that money at your disposal; you do not need to do business through Coinbase. You have the utmost freedom to do whatever you want with your crypto, and the Ethereum blockchain is at your disposal.
The crowd’s favorite crypto wallet is MetaMask. Of course, this does not mean that you are obliged to use it; several other options are quite as good, for example, Exodus, Rainbow, Loopring, and Argent. What you need to keep in mind is that before you make any decision, make sure you do your research, get informed, and calculate your every step to avoid unnecessary problems. Then, pick a wallet that best suits your needs.
Setting up your Metamask
If, after finishing your research, you decide upon using MetaMask, here is what you need to know for setting up your account. MetaMask wallet works with the Google Chrome browser as well as with Android and iOS apps that are available. MetaMask is versatile as it is compatible with the majority of if not every website on the Ethereum blockchain.
In order to set up your MetaMask account, you will first need to download and install it on the device of your choice. Upon downloading and clicking on the create a wallet button, you will be required to provide the necessary information. Furthermore, you will be given your very own seed phrase.
This sequence of randomly generated words serves as your ultimate protection. Make sure you never completely lose it, keep it safe as if you get locked out of your wallet, and you do not remember the word sequence, your assets will be gone forever. Lastly, you need to copy your wallet’s address to Coinbase in order to transfer your funds.
Sending your ETH from Coinbase to Metamask
Open Coinbase and click on Send/Receive, here you will input your wallet address and send any amount of ETH from Coinbase to your wallet.
STEP 3: CONNECTING TO LARVA LABS
Having obtained ETH on Coinbase and transferring it to your crypto wallet, you are ready to acquire your own CryptoPunk.
There are two markets for CryptoPunks, primary and secondary, both on the Larva Lab’s platform. Here you do not have to worry about losing your ETH, no matter what. Although, do be wary of scammers and threats alike.
On the Larva Lab’s website, you can connect your wallet directly to the platform. After you confirm, you will be presented with the button Connect, and by clicking on it, your wallet will be connected to the website, and you are ready to make your first purchase.
When you begin the process of buying, keep in mind that you do not have to pay the listed price immediately. First, you can bid and hopefully pay less than the original price it was listed for. Make sure you think it through before buying but make sure not to wait too long because they are selling fast.
STEP 4: MAKING THAT PURCHASE
You found the CryptoPunk you wish to buy, by clicking the buy button, you will be asked by MetaMask to green-light the transaction. Now you will be met with a fee you have to pay. That fee is called “Gas Fee.” Basically, this is the necessary amount needed for your transaction to run on the Ethereum blockchain. The fee may vary in amount depending on the transactions on the blockchain. Keep in mind that the gas fees are currently very high compared to what they were before.
When you click confirm, your transaction will start, and considering how much you paid in gas fees, it might take some time to go through but no longer than a couple of minutes. Upon finishing the transaction, you will become a proud owner of a CryptoPunk.
Best Crypto Wallets ForCryptoPunks NFTs
Here we will mention the best hardware and software wallets to keep your NFTs safe.
First, we will talk about the best hardware wallet called Ledger Nano S. Ledger has been providing hardware crypto wallets all the way back from 2014 until today. Their best selling point and what they are best known for is in the number of cryptocurrencies they support, more than 1,000.
Additionally, by supporting Ethereum tokens, you have an option to store ERC-721 NFTs in the wallet. With its price point going from $50 for the basic service all the way to $119 for the premium, Ledger Nano S offers something for everyone.
Now let’s talk about the best software wallet. Here the best option you have is Coinbase. As being one of the safest and best secured was not enough, Coinbase also supports NFT storing on its wallet. Furthermore, Coinbase allows you to interact with dapps straight through your wallet. Basically, dapps are apps on the Ethereum blockchain that allow you to interrelate with cryptos as well as NFTs easily in order to trade with them.
10 things to know about CryptoPunks, the original NFTs
Here are 10 things you need to know about CryptoPunks.
First, it all began as an experiment back in 2017 and, through the advancing of blockchain technology, became the CryptoPunks we know today.
Second, the inspiration for CryptoPunks came from movies and novels with the cyberpunk theme as well as the London punk scene.
Third, CryptoPunks launched on June 23, 2017, becoming an immediate hit, pioneering into the new lands of blockchain technology.
Fourth, what makes them so valuable is their number. There are 10,000 CryptoPunks in circulation on the market, and no more will be added ever.
Fifth, CryptoPunks vary in rarity, the rarer your CryptoPunk, the higher the price will be.
Sixth, everyone can see each and every of the 10,000 different Crypto Punks.
Seventh, the ownership of the CryptoPunk is held by a single person who bought it.
Eighth, even though it is not a young project, the market for CryptoPunks is as active as ever.
Ninth, CryptoPunks served as a pioneer and an inspiration for so many new projects and artists.
Lastly, the tenth, the creators of CryptoPunks put up for sale their own set of CryptoPunks.
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Who Owns the Most CryptoPunks?
Most CryptoPunks are owned by the American entrepreneur Gary Vee, with a collection of 59 CryptoPunks, including the Ape Punk 2140 and the Zombie Punk 2424.
CaptainAltcoin's writers and guest post authors may or may not have a vested interest in any of the mentioned projects and businesses. None of the content on CaptainAltcoin is investment advice nor is it a replacement for advice from a certified financial planner. The views expressed in this article are those of the author and do not necessarily reflect the official policy or position of CaptainAltcoin.com