Cryptopunks catapulted the NFT industry into the mainstream, with many celebrities using them as avatars. Crypto Punks are considered the original blue-chip NFT series. But what is cypherpunk? Why are CryptoPunks NFTs so expensive?
What is Cryptopunk?
CryptoPunks is often called the first NFT project in history. No program enjoys as unparalleled cult status as they do. There is no doubt that by owning one of these blue-chip NFTs, you own a piece of history.
Basically, CryptoPunks are a collection of uniquely generated NFTs on the Ethereum blockchain. Plus, all of this is stored entirely on-chain. Collections were launched back in June 2017, and anyone with an Ethereum wallet could claim the avatar for free. Even though NFTs were a relatively new concept at the time, all CryptoPunks were quickly claimed.
What do Cryptopunks NFTs look like?
As for the artwork itself, the collection draws inspiration from the London punk scene. They reflect the “anti-establishment spirit” of the “early days of the blockchain movement.”
"They needed to be a bunch of misfits and non-conformists," the pair told Christie's. “The London punk movement of the 1970s had the right aesthetic feel.” In addition, “Blade Runner” and William Gibson’s cyberpunk novel “Neuromancer” also influenced them.
How many cypherpunks are there?
There are 10,000 CryptoPunks NFTs in total. Within this number, there are 5 "types" and 87 different characteristics.
Type of CryptoPunk NFT: Male, Zombie Ape or Alien
All in all, there are five different types of CryptoPunk NFTs – male, female, zombie, ape, and alien. While males are the most common, with a total of 6,039 incarnations, aliens are the rarest. There are only nine aliens in the world. Instead, there are 3,840 women, 88 zombies, and 24 apes. Obviously, the rarer a type, the higher its value. In fact, in the middle of last year, Sotheby’s auctioned an Alien CryptoPunk for $11.75 million.
Cypherpunk characteristics
However, in addition to type, CryptoPunks also feature a range of other features – 87 in total. This includes necklaces, cigarettes, earrings, eye patches and pipes, among others. Here, some are rarer than others. Beanie, Choker, Pilot Helmet, Tiara, and Buck Teeth are some of the rarest traits.
“The beauty of generative art is that once the process started, it produced results that surprised us,” says Larva Labs. “We ran the generator hundreds of times, reviewed the results, and made adjustments. Then, quietly, we I ran it one last time, linked it to our deployed Ethereum smart contract, and CryptoPunks was completely fixed.”
Now that we understand what CryptoPunks are, let’s look at why they are so valuable.
Who Made the CryptoPunks NFT Series?
If you’re wondering who created the CryptoPunks NFT series, you should know Matt Hall and John Watkinson, the founders of Larva Labs. In fact, if you want to know some trivia, they started this project as an experiment.
How did cypherpunks come about?
Basically, they created a software program that can generate thousands of unique characters. Initially, the pair thought they were creating an app or game, but they actually ended up creating the blueprint for the digital art movement we know today.
Additionally, the NFT standard ERC-721 did not exist at the time. Therefore, the two had to use a modified version of the ERC-20 protocol. In part, this inspired the later development of ERC-721.
How much is CryptoPunk worth?
To be honest, to the uninitiated, these little pixelated square avatars don’t look like anything special. They are primarily men, with features ranging from hoodies to pipes to hats and more. They offer no particular utility - they're basically just digital works of art. Surely these wouldn't be worth much? Well, they will cost you anywhere from nearly $200,000 to $23 million.
So why do they sell for millions?
Why are CryptoPunks so valuable?
Initially, people claimed CryptoPunks for free probably because they thought they were similar to collectibles like trading cards. Some collectors are also fans of generative art. Today, these two aspects apply to most of the top NFT projects on the market. However, what makes CryptoPunks extremely valuable is that they are one of the OG NFT projects in history. They were also among the first widely accepted incarnations of NFTs within the crypto community.
To be sure, CryptoPunks paved the way for several other PFP NFT projects. The Bored Ape Yacht Club, Doodles, Cool Cats and World of Women to name a few.
The Most Expensive Cryptopunk Ever
Currently, the blue-skinned CryptoPunk#5822holds the record for the highest-selling NFT in the series. It was sold in February 2022 for 8,000 ETH or approximately $23 million. As one of only nine Alien Punks in existence, this is also one of the rarest.
The next most valuable NFT is CryptoPunk #4156. As a hooded ape. This punk fetched $10.35 million! Meanwhile, Punk#5577and Punk#7804sold for $7.82 million and $7.56 million respectively.
Celebrities who own CryptoPunks
Want to see the A-list? This is the person who owns the CryptoPunk NFT. Due to its legendary status, some celebrities have also joined in the fun. The list includes rappers Jay Z and Snoop Dogg, crypto influencer Logan Paul, tennis star Serena Williams, American DJ Steve Aoki, singer Jason Derulo and many more.
Where to buy CryptoPunks NFTs…if you can afford them
Today, CryptoPunks’ base price is 62.59 ETH or approximately $189,100. According to the Larva Labs website, the project’s historical sales have reached $1.98 billion. However, OpenSea noted the value was higher at $2.7 billion.
You can build yourself a cypherpunk on any of the leading Ethereum-based NFT marketplaces like Opensea or Looksrare. However, be aware of imitations, scams, and derivatives.
The series was acquired by Yuga Labs
Aside from its million-dollar sales, CryptoPunks made headlines this year for another big reason. Yuga Labs, the parent company of Bored Apes, acquired CryptoPunks and Meebits from Larva Labs last month for an undisclosed amount. Sales of both series skyrocketed shortly after the announcement.
Initially, while community members owned CryptoPunks, Larva Labs continued to own the intellectual property rights for all NFTs. Therefore, Yuga Labs’ first course of action after the acquisition was to hand over all commercial rights to the NFT to the holder. This means holders can now use their Punks in their Web3 projects.
Fortunately, the series continues to enjoy its legendary status and is unlikely to fade away anytime soon. Additionally, with the acquisition by Yuga Labs, we can expect more development surrounding the series in the coming months.