MORE THAN “FREE”: As Some Question Yuga’s $20M CryptoPunks Sale Price, Garga Previously Said He'd Only Ever Sell To Someone "Who Would Be Willing To Basically Lock The IP Up And Throw Away The Key.”

“So lucky my founder is bald!”

Five-month-old rumors turned out to be true today after Yuga Labs CEO Garga announced that the company has sold the CryptoPunks IP to the art nonprofit The Infinite Node Foundation. And while some are saying “FREE,” this deal was about more than just money, it also secured the CryptoPunks legacy, which was always Yuga Labs’ top priority.

On Tuesday, Yuga Labs sold the CryptoPunks IP to The Infinite Node Foundation for a reported $20 million, according to NFT Now’s Matt Medved. The news sparked debate across the timeline about the seemingly “free” price tag and even drew a tweet from Pudgy Penguins founder Luca Netz, who claimed he would’ve paid $75 million for the IP.

While we don’t know what Netz would’ve done with CryptoPunks, or what other offers Yuga Labs considered, we do know that back in January, when rumors of a sale began swirling, Garga made it clear that any deal wouldn’t just be about the money.

 “A lot of people have approached us, esp last few months doesn’t mean we are doing anything,” Garga tweeted at the time. “Would only ever do a deal if it we felt very confident it would be long term extremely +EV for punks. my biz and life are nfts not going to take a deal for money if I feel like it hurts the legacy of this asset. some punks might think yuga bad but am fine with that, my preternatural ability to eat shit sandwiches and not care what cringe lords think is precisely what makes us a decent steward. whoever owns punks must have an iron stomach and be willing to basically lock the IP up and throw away the key.”

 

 

With today’s sale, it seems Yuga found that ideal steward in The Infinite Node Foundation, a group that just wants to let Punks be Punks.

“CryptoPunks were born free,” Infinite Node wrote. ”This transition is about unlimited expansion and not about protection from corporate friction or limitations. NODE is here to carry the Punk ethos forward through an evolved model of stewardship, one grounded in three essential pillars: Preservation: Ensuring the technological integrity and longevity of CryptoPunks through advanced blockchain infrastructure. Community: Fostering an engaged ecosystem that bridges digital innovators and art enthusiasts. Expansion: Creating new contexts where CryptoPunks can be studied, exhibited, and understood as both technological innovation and artistic achievement. Our role is to build a networked architecture that allows digital art like CryptoPunks to thrive within both digital and art-historical canons.”

 

Looking ahead, Yuga Labs will still have a lot of influence over CryptoPunks. According to Garga, the company is the top holder with “415ish” Punks in its collection. Additionally, Yuga Labs Co-Founder Gordon Goner is joining the Node Foundation’s CryptoPunks advisory board.

“When Yuga acquired the CryptoPunks IP back in 2022 we did so not only because we believed in the project, but because we wanted to make sure it landed in crypto-native hands,” Goner tweeted today. “With BAYC's sudden success, we felt an owed responsibility to Matt, John, and the wider crypto community to step up and become stewards, to help preserve what had started everything. But we also knew from the outset that long-term, Punks deserved a home built on the basis of preservation. My view then, and now, is that what's good for Punks is good for all NFTs. Yuga is still the largest holder of CryptoPunks and so we chose Node because we believe they're best positioned to protect and preserve the long-term value of the Punks legacy. I trust the leadership at Node, and I'm honored to continue supporting that legacy from an advisory council position alongside Matt, John, and Snowfro. I also believe this deal gives Yuga some additional space to refocus on what it set out to build in the first place. And I believe everyone wins here. Not just punks, but Yuga, apes, and the broader ecosystem. My hope is this helps set pace for a new chapter in NFTs, and I'm happy to pass the torch to the good folks over at Node, and let Yuga get back to its apeish roots. Enormous thanks to Stone and the entire Punks team. And Benny and Micky, of course, for believing in jpegs. Cheers everybody.”

 

 

The Bored Ape Gazette will continue to follow The Infinite Node Foundation and will let you know what’s next for Punks. Stay tuned for updates!