Want to jump straight to the answer? You need Ethereum to buy NFTs which you can get today on Gemini.
Bored Ape Yacht Club (BAYC) holders were able to mint a companion dog, known as the Bored Ape Kennel Club (BAKC). The dogs were minted back in late June of 2021. To claim a dog, you had to hold a Bored Ape and pay a gas fee to mint the non-fungible token (NFT).
Despite being overshadowed by Bored Apes and Mutant Apes, BAKC has maintained relevance on OpenSea, hovering in the top 25 by ETH trading volume. While derivative Bored Ape projects have been pumped and dumped, anything actually belonging to BAYC or BAKC has maintained value. Will BAKC be able to sustain this trend? It will likely have to show more utility to do so.
What is the BAKC?
BAKC is an NFT collection traded on the Ethereum network, stored as ERC-721 tokens. The collection of 10,000 NFTs was gifted to BAYC holders free of charge. Of the 10,000 Bored Apes, 9,600 claimed their companion. According to the BAYC website, the roughly 400 unclaimed dogs have been released into the swamp.
More recently, holding a BAKC NFT paired with a Bored Ape or Mutant Ape boosted the amount of tokens airdropped to you in the release of ApeCoin. The release of this altcoin provided the first realized return on investment to Bored Ape holders, showed that BAKC does have continued utility in the Bored Ape ecosystem and helped confirm that NFTs can be seen as valid investments.
Brief History of BAKC
BAKC has been around for just over a year. The collection was released by Yuga Labs, the creators of BAYC. The BAKC mint ended on June 25, 2021, at which point the dogs were revealed to their owners.
For the first six weeks of trading BAKC, Yuga Labs held a 2.5% royalty on secondary sales on top of the 2.5% fee through OpenSea. This additional trading fee was collected and donated to no-kill animal shelters. The fee has since been lifted, leaving only the 2.5% trading fee from OpenSea on the project.
Perks of Holding a BAKC NFT
Holding a BAKC NFT grants access to the BAYC community. Also, it boosted the amount of ApeCoins that Bored Apes and Mutant Apes were airdropped by 856 coins. Owning a BAKC NFT is also rumored to have staking perks in the near future.
While the dogs do hold some utility, their lack of uses compared to Bored Apes has been clear. This comparative lack of utility is clearly represented in the floor prices of the projects.
How to Buy BAKC NFTs
A BAKC NFT can be bought on most NFT marketplaces. The majority of trading volume for this project has come from OpenSea.
- Open an online account.
Buy ETH through a crypto exchange like Coinbase Global Inc. (NASDAQ: COIN) or Gemini. Once you’ve purchased ETH on these exchanges, you may need to wait a few days before you can send it off the exchange.
- Buy or download a wallet.
Next, download a software wallet so that you can buy, sell and bid on OpenSea. Hardware wallets are also nice to have as they can keep NFTs safe after the purchase.
- Send ETH to MetaMask.
Next, you'll need to send your Ether tokens from the exchange you purchased them on to your Ethereum wallet. This will cost a transaction fee of around $5 to $10, depending on market conditions.
- Make your purchase.
Once MetaMask is funded with ETH, connect your wallet to an NFT exchange and start browsing. To purchase an NFT, use the buy now feature to purchase the NFT at its current asking price. You can also make offers for NFTs; to do so, you convert ETH into Wrapped Ether (WETH).
Best Hardware Wallets for NFTs
Best Hardware Wallet: Ledger
Owning a hardware wallet to safely store your NFTs and other assets is a great idea. The crypto space is vulnerable to scams, so having a set of keys that is unexposed to the internet is a great practice. Ledger is a hardware wallet that gives extra security that software wallets lack. With its user-friendly interface and top-tier security, it may be the right time to grab a Ledger.
Best Software Wallet: MetaMask
A great software wallet to use is MetaMask, which can be added as a browser extension to seamlessly connect your laptop to Web3. Installation of MetaMask connects users to OpenSea or LooksRare, where NFTs can be traded.
An upcoming land auction for the BAYC metaverse could impact the price of BAKC. If the metaverse proves successful, the entire collection is likely to move upwards. If the metaverse does not live up to the hype, the reverse would probably occur.
Current Crypto Prices
Crypto markets have been moving sideways after a sell-off in early 2022. However, the broader crypto markets have experienced a resurgence after a fearful few months. Bitcoin broke out to over $46,000 with most altcoins showing gains as well. An increase in positive consumer sentiment could be good for NFTs, at least in the short term.
Is it Worth Getting a BAKC NFT ?
NFT prices are speculative and lack utility; most of the value comes from the community and exclusive perks. The Bored Ape community is arguably the most active and influential in the NFT ecosystem. BAKC offers the lowest floor price to be part of the BAYC ecosystem but also has the least utility because BAKC NFTs do not grant you access to BAYC. Learn more about the best NFT investments at Benzinga’s Best NFT Projects and Investments.
Frequently Asked Questions
How much was did BAKC mint for?
Bored Ape Kennel Club minted for a fee of zero ETH, however the buyer still had to pay a gas fee in ETH.
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