What Is Bored Ape Yacht Club?

Origins of the Bored Ape Yacht Club NFT Collection

Launched by crypto startup Yuga Labs in early 2021, Bored Ape Yacht Club (BAYC) is a collection of 10,000 digital art non-fungible tokens (NFTs) minted on the Ethereum network. After receiving widespread notoriety and visibility, the Bored Ape has become emblematic of the spectacular growth of the NFT industry as a whole. A quick refresher: NFTs are blockchain-based digital tokens that can be used to prove ownership of an item or asset — from a document to a piece of digital art. The sector was enabled by the release of Ethereum’s ERC-721 standard, a token format used for creating unique NFT-based assets.

The NFTs that populate the BAYC offering are known as “Bored Apes,” each a work of digital art depicting an ape in increasingly creative and imaginative designs. The creators of Bored Ape Yacht Club set out to incorporate elements from 1980–90s era music scenes like punk, hardcore, and hip hop, all amidst the land-and-seascape of Miami, Florida. They also drew particular inspiration from the crypto slang phrase “aping in,” which refers to the act of recklessly investing into an altcoin or NFT project based on excitement rather than research.

The backstory for the Bored Ape Yacht Club takes place in 2031. In this fictional narrative, crypto investors who “aped in” a decade ago have grown exceptionally wealthy. Now, these investors — having taken the form of Bored Apes — are saddled with the disillusionment of success, unsure of how to spend their abundant wealth and free time. Their solution is to simply wallow en masse at the yacht club with the rest of the Bored Apes, devolving further into various states of colorful madness with each proceeding NFT.

Upon launch in April 2021, each Bored Ape NFT sold for 0.08 ether (ETH). Each one was hidden until purchased, a buyer experience akin to purchasing an NFT mystery box. Despite this element of uncertainty, the collection sold out. At approximately USD 200 per Bored Ape at the time, the launch sale netted BAYC’s founders around USD 2,000,000. Although this was considered a success at the time, the cultural phenomenon that followed drove valuations up exponentially.

How to Buy a Bored Ape

With the launch collection sold out, most Bored Ape NFT sales since then have taken place on the secondary OpenSea NFT marketplace. To purchase one, you need a compatible crypto wallet and some ETH — they cannot be purchased with USD. But now even the cheapest Bored Apes sell for far more than USD 200. For example: In early 2022, the most affordable Bored Apes listed were available for a quarter of a million dollars.

The Most Expensive Bored Apes Have Rare Traits

In the art world — and the NFT art world — rarity tends to correlate with a higher value. In addition to having an unalterable limit of 10,000, Bored Apes come with different “traits” that make each one unique. Bored Apes with rarer traits or rarer combinations of traits tend to command higher prices. Traits include different clothing, hats, accessories, and fur colors. As of early 2022, the most expensive Bored Apes sell for over USD 2,000,000, which is more than the price of the entire collection of 10,000 was when the Bored Ape Yacht Club first launched. The most expensive Bored Ape NFT (as of Q2 2021) sold for 740 ETH, approximately USD 2.91 million at the time. This Bored Ape (#3749) had traits that included a sea captain’s hat, laser eyes, and solid gold fur.

In step with the remarkable growth of the NFT market globally, owning and displaying a Bored Ape has become a status symbol. Popular as an online avatar, Twitter now offers NFT verification for Bored Ape profile pictures. Many musicians, actors, athletes, and celebrities are among those who have purchased Bored Ape NFTs. Some of these owners used an NFT concierge service that caters to celebrities who want to purchase Bored Apes and other high profile NFTs.

Bored Ape NFT Perks, Benefits, and Ownership

In addition to owning a work of historic NFT art — and an asset worth a significant amount of ETH — owning a Bored Ape comes with other distinctive benefits, some of which were outlined in the BAYC roadmap. These perks include:

• Exclusive online members-only areas

• Limited edition merch for BAYC members

• Real-world events for Bored Ape owners

• Free NFTs from both the Bored Ape Kennel Club and Mutant Ape Yacht Club

However, what some consider the most noteworthy benefit is that when you own a Bored Ape, you own it in its entirety — including full commercial rights and the ability to monetize it. This is unlike most other NFT collections, where collectors and investors are prohibited from commercially marketing the NFTs they purchase. For example, NBA Top Shot’s NFTs come with terms of service; if you violate them, they can delete your account — and confiscate your NFT. Bored Ape Yacht Club creator Yuga Labs maintains that the Ethereum-based Bored Ape NFTs are un-rescindable, immutable, and undeletable — all traits that align with the mission of decentralization and empowerment that drives blockchain and Web3.

On March 17, 2022, BAYC fair launched ApeCoin (APE), an ERC-20 governance token that can be claimed by owners of Bored Apes and Mutant Apes. Other tokens are dedicated to Yuga Labs, BAYC founders, project contributors, and an ape-inspired charity. These tokens will be used to power the APE ecosystem and serve as a currency, a governance mechanism, and as a way to allow holders access to exclusive events, games, and services.

The Bored Ape Yacht Club Sets Sail

In a little over a year, Bored Ape Yacht Club became a cultural trend that saw Bored Apes adorning craft beer labels, skateboard decks, soft drink cans, and various other products. A well-known record label even created a band featuring four Bored Apes. As owners of the IP rights, the proceeds from these lucrative commercial endeavors go directly to the owners.

The Bored Ape Yacht Club team has announced a collaboration that will see a BAYC-inspired, blockchain-based video game with play-to-earn (P2E) mechanisms to further furnish the burgeoning Bored Ape economy. Widely considered the most sought-after NFT collection to debut in 2021, and a pioneer in community engagement and ownership models, Bored Ape Yacht Club remains a landmark in NFT art.