On September 13, the quirky pixel-based NFT initiative Nakamigos unveiled its upcoming non-fungible token (NFT) collection, ‘CLOAKS’, a move that has been met with substantial community dissent. Critics believe the project epitomizes the rampant hype around derivative NFTs, characterized by heavy marketing and an absence of originality.
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CLOAKS NFT drop
According to an official blogpost, an early access mint for CLOAKS is slated for September 21, exclusive to Nakamigos NFT holders. The Public Mint will commence later the same day at a cost of 0.05 ETH per mint.
While shrouded in mystery, it was announced that the collection will feature 20,000 characters—humanoids and wolves.
The humanoids will encompass Warriors, Knights, Archers, Sorceresses, and Wizards, all associated with one of seven distinct clans. They can also assume specialized forms like the Undead Reaper and Possessed, among others. Moreover, the NFTs introduce six “non-human characters” labeled as “Rares.”
A noteworthy feature is the global gaming and commercial IP rights accompanying each NFT. It mirrors the model Yuga Labs employs for its esteemed projects. While not a Creative Commons license, it still presents holders with some competitive benefits, enabling broad usage of the CLOAKS characters.
This unveiling hasn’t been smooth sailing. After announcing a uniform mint price of 0.05 ETH, the project faced community backlash and subsequently amended it to a free mint for existing Nakamigos owners.
Yet, concerns about the project’s true value persist. Critics argue that introducing another collection could risk oversaturation—a concern stemming from witnessing similar trends with projects like Azuki.
NFT collector and influencer “FFV” perfectly expressed the disappointment of the Nakamatos community. “FFV” drew parallels with Azuki’s recent NFT drop, which proved to be a colossal failure that diluted the value of the original collection.
Floor price declines
The widespread skepticism faced by new NFT projects, especially derivative ones, is palpable and hard to ignore. Following the announcement, the floor price of the Nakamigos collection dumped considerably. Trading volumes have also suffered, registering a 28.35% decline in the past 24 hours.
Established by HiFo Labs, Nakamigos has a history of producing digital art for the past five years. Its inaugural collection, resembling the iconic CryptoPunks, portrayed 24 x 24-pixel characters fondly referred to as the “friends of Satoshi Nakamoto.”
Astoundingly, in just four days post-launch, Nakamigos eclipsed the lifetime trades of Bored Ape Yacht Club (BAYC). With trading volumes soaring from an impressive $13 million to nearly $39 million in a month, its rapid ascent was evident. Rumors linking HiFo Labs to Larva Labs—CryptoPunks’ original creators—began circulating. However, the team has refuted these claims.