The Otherside project, created by Yuga Labs, is one of the most anticipated in the Metaverse in these days. It will have the potential to create a large community for holders of the company’s NFTs. Metaverse opens its doors for sale at 9:00 PM on April 30.
Otherside lands in sale
According to Yuga Labs, Otherside lands will only be able to be purchased with the ApeCoin (APE) cryptocurrency, at least at launch. As a result, demand for the cryptocurrency soared.
As the launch approaches, Yuga Labs revealed new information regarding land sales. The price of each piece of land will cost 305 APE. Also, the sale will no longer take place in the Dutch auction format.
According to Yuga, the change in the auction is an attempt to avoid what it calls “apocalyptic gas wars”, that is, inflating transaction prices. At the same time, the company wants to encourage wider distribution, allowing more investors to buy the land.
“The Dutch NFT auctions are actually bullshit. Instead, they will employ a new mechanic where the selling price will remain stable over the period,” the company said.
A Dutch auction or anti-auction is a type of auction in which the auctioneer starts with a high price, then gradually decreases. Prices continue to increase until some buyer is willing to pay the amount reached.
If no one is willing to pay, the price continues to fall until it reaches the reserve price. This is the minimum price accepted for this sale, from which it will not be possible to lower any further.
At first, Yuga Labs planned to hold this type of auction for the sale of land on the Otherside, but changed its mind. A purchase limit of two plots of land was also established in the initial sale.
With this, the company hopes to ensure that most investors have access to the land. The end of the Dutch auction is also intended to prevent the fee war, i.e. users submitting higher fees to try to lie as many NFTs as possible.
According to the announcement, 55,000 NFTs will be available for sale on Otherside. In this initial part, only those who performed the identity verification (KYC) on the project’s official website. The user will need to buy APE tokens to buy the lands.
$450 million funding round
Yuga Labs secured $450 million in an investment round last month to develop Otherside. Led by Andreessen Horowitz, the round valued the company at $4 billion.
Other participants include Animoca Brands, Coinbase and MoonPay.