In this week’s newsletter, read about nonfungible token (NFT) founders who started giving company equity to their holders, and check out how community members responded to YouTuber Logan Paul finally refunding disgruntled investors of his CryptoZoo NFT project. In other news, find out how NFTs are stored and how Ninjalerts developers inscribed the Super Nintendo emulator on the Bitcoin network.
NFT projects begin to give away “free” company equity to holders
During the holiday season, Pons Asinorum, the founder of “The Plague” NFT collection, announced their holders would be gifted a percentage of their company shares. Following the announcement, another NFT collection founder, Ovie Faruq, also known as OSF in the NFT space, revealed a similar move on Jan. 1 for holders of the Rektguy NFT collection.
While this seems like a legal risk, Pons believes the move is legal as it was completely unexpected. The pseudonymous NFT founder told Cointelegraph there was no expectation that the holders would receive equity and clarified that it was a gift.
Logan Paul to “buy back” CryptoZoo NFTs a year after promising refunds
Internet celebrity Logan Paul announced a buyback program for the disgruntled holders of CryptoZoo NFTs. According to Paul, the program will be funded by $2.3 million, which he is personally committing to repurchasing the NFTs at their original purchase price. The YouTuber said the refund was for every person who intended to play the never-released play-to-earn game.
The announcement came a year after Paul promised to refund the investors of the NFT project. Throughout the process, various community voices have called out to the influencer to complete his promise.
Logan Paul NFT buyback shows celebs can’t “play around” in Web3
Following Paul’s announcement, some community members celebrated the win, while others warned about Paul’s potential “ulterior motives.” Crypto content creator Mason Versluis commented on the development, saying mainstream celebrities can’t “play around” in the Web3 space without accountability.
Meanwhile, YouTube investigator Coffeezilla posted that Paul is “being crushed in a lawsuit” and is trying to “save his own skin” by doing the buyback program. On the buyback claims website, the terms and conditions state that participants are waiving their rights to sue Paul and CryptoZoo.
Bitcoin Ordinals versus off-chain NFT storage: Execs explain how to choose
Executives working in the NFT space urged creators to consider what types of NFTs should be hosted on the blockchain and which should be placed off-chain. Atlas Development (Enjin) co-founder Witek Radomski said that creators should decide which NFTs deserve the “vault treatment,” which means being stored on-chain and which can live on the cloud.
The executive also presented a hybrid option, like using platforms like the InterPlanetary File System. Unlike the Bitcoin blockchain, Radomski said that this platform is designed for storage.
Bitcoin blockchain hosts classic SNES games
In an attempt to raise the technical bar for Bitcoin Ordinals projects, developers at Ninjalerts inscribed the Super Nintendo Entertainment System (SNES) emulator on the Bitcoin blockchain, allowing the community to play classic games on the network.
Citing a study that says 90% of classic video games are endangered, Ninjalerts CEO Trevor Owens explained that Bitcoin is the best place to preserve the cultural “digital artifacts” for future generations.
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Thanks for reading this digest of the week’s most notable developments in the NFT space. Come again next Wednesday for more reports and insights into this actively evolving space.