A Pudgy Penguin Just Sold For $630,000

Welcome to The Drop NFT Newsletter. Breaking NFT news, project breakdowns, & artist spotlights - We do the heavy lifting so you don't have to! Join our Discord to win raffles and allow list spots!

What's Dropping ⚡️

• Pudgy Penguins are back on the rise and one of them just sold for 400 ETH ($630,000 USD) (@NathanHeadPhoto)

• FTX remains one of the strongest exchanges to date, with astronomical numbers to prove their growth and merit. (@Kr00ney)

• Though Gamestops marketplace came out of the gates hot, they have struggled to maintain momentum over the last month. We hope for the best over there! (TheMotleyFool)

• As the Ethereum merge nears, we're seeing prices of NFTs drop while ETH pumps. We're very eager to see how the next couple of months plays out. (Bloomberg)

• Artistic supermodel Heidi Klum has been busy creating awesome depictions of Bored Apes for large events, and will soon be dropping her own collection. (ArtNet)

• Reports show more and more artists trying out the Tezos blockchain when minting their artwork. We feel art is art despite the chain. (Tezos.Art)

• Pudgy Penguins are flying after recent news of plush toys and a new advisory board. (Decrypt)

• Golden furred Bored Ape #5383 sold for 777ETH last week! (OS)

• A Hypercar manufacturer from Dubai announces a slick upcoming collection called Hyperwolves. (@WMotors)

• Manchester United's very own Facundo Pellistri yOOts application has been accepted along with many others. (@y00tlist)

• Magic Eden adds a new feature to help users enter and keep whitelist opportunities. (@MagicEden)

Pudgy Penguins Soar Back 📈

Maintaining the thought that the NFT marketplace is currently going through a bear cycle, it is a pleasant surprise to see Pudgy Penguins continue their rally to the next price level. Just yesterday, we saw a 400 ETH sale of Penguin #6873!

Created back in July of 2021, the Penguins have stayed below 2 ETH for a while, as we reported in our newsletter from last week. With new physical goods announcements and more exposure to the underpriced collection, the Penguins are now sitting comfortably above 3 ETH (at the time of writing 3.9 ETH), with some sales above 30 ETH even after the 400 ETH sale. Along with the genesis collection, the Penguin’s sister collection, Lil Pudgys, is also getting some traction. The Penguins are finally getting noticed, but let’s see how long this train lasts. Is it on it’s way to Bored Ape Floor Land? We shall wait and see. WAGMI.

Useful Shortcut 🚨

BenDAO Lending Might Be In Big Trouble 😬

While Ethereum has nearly doubled in value since June, NFTs on the other hand have declined in volume sales and dropped in their average value. Afflicting the floor price of a project that’s health represents the health of NFTs at large - namely BAYC - is liquidation fears on the peer-to-peer lending service BenDAO. Thirteen out of seventeen MAYC and five out of nine of the BAYC that have defaulted have no bids placed on them. And there are 72 other BAYC that are at a health factor below 1.2. For context, BenDAO will sell off a borrower’s NFT when the health factor of the NFT goes below 1.

BenDAO has claimed that they aren’t worried because price fluctuations are normal and ultimately a blue chip project like BAYC won’t disintegrate overnight. In other words, they are not stressed because they haven’t booked any realized losses, these are only floating losses. But what they appear to be ignoring is that they need liquidity to take care of lenders who want to retrieve their money. Bids aren't being placed because bids have to exceed 95% of the OS floor price and can’t be below the amount the borrower took out. In order to become liquid, BenDAO may need to offer some low ball bids otherwise things could get very turbulent very quickly.

The Vandals Are On The Rise 🤺

The Vandals of Solana have earned a good amount of attention in the Solana NFT ecosystem lately. They’ve dominated the daily smart money inflow, top movers, and top social buying section of Hello Moon.

For a project seen struggling to find a balance between 2-4 SOL after its launch in June, it should be interesting to see the price move five times the floor price up due to major announcements made by the team in the past weeks. Some of these announcements included:

Art Rework

The current art across marketplaces is set to change as the team has recruited Rono a top tier 1 of 1 artist to join the team in remaking the Vandals.

Training or staking mechanism

Staking your Vandal gives you access to the City Gutter (A place that holds a lot of Vandal City's secrets) and qualification for the art rework.

The team released the Vandal Character Reveal Part I yesterday (Monday) with the Vandals only having 2-3 traits on, while it is expected for most vandals to have 4-6 traits post-release.

Are the Vandals out to run Solana this time?

The website has been updated with a new user interface and a litepaper; it has every detail about the project.

Meme Drop 💧

Sponsored Content:

Recent Articles 📰

• Streetlab.io OGs Drop

• Is NFT Lending Good Or Bad?

• y00ts NFT by DeGods

• NFTs Are Hitting The Big Screen

• Ethereum Merge Is Happening

Disclaimer: The Drop DOES NOT provide financial advice. All content is for informational purposes only. The Drop is not a registered investment, legal, or tax advisor or a broker/dealer. Trading any crypto-related asset is extremely risky and could result in significant capital losses.

Follow the team:

Gannon Breslin, Kayla Kilbride, CryptoVonDoom, Naveed Lalani, Alex Reed, Naman Patel, Big Tuna

Want to advertise your brand to 25,000+ readers?

Submit a form here.

Want to get your project featured?

Submit a form here.