Why ApeCoin’s All Over The Internet Right Now, And If It’s Worth An Investment
Cryptocurrencies have taken over the internet for years. Currencies like Bitcoin, Ethereum, and even meme coins like DogeCoin and Shibainu have risen to fame. Now there is a new coin on the market, ApeCoin. The creators behind this new sensation also created one of the most successful NFT projects to date, Bored Apes. What exactly is a Bored Ape NFT? Well, they are digital images you can own. If you own one, you get special perks like joining a private discord and getting a free yacht and party invitation. Exactly 10,000 apes exist and that number will never change. In the month of April 2021, its cost was a little over $200 to mint one. Since then, the cheapest ape on the market is currently $313,175! In this article, I’ll be going over how ApeCoin has performed so far, how someone stole $1,000,000 with a simple trick, and what I speculate the price will be in a few years.
So far on the young coin’s stats, It's steadily going up in price. On March 16, the coins release date, ApeCoin was valued at $1. At the time I’m writing this, Apecoin is valued at $13.84, the coin's all-time high. That's almost a 14x increase in value! To put in perspective, if you invested just $100 at launch, you would be sitting at a whopping $1,400! Is it all hype-driven and in a bubble or has real potential? Only time will tell!
The $1,000,000 “Theft”
NFTs and Crypto have been considered safe and hard to hack, that may be true but one individual found an error in the system. There is a website out there where you can borrow assets such as NFTs and get the perks that collectible offers for a certain amount of time. As one user did research on the ApeCoin project, they discovered a clever way to make a whole bunch of money. The platform this “thief” apparently used is nftx.io to claim the Apes. This anonymous person first went to purchase himself an actual ape for $300,000, before borrowing 5 more apes. The apes are the following: Ape 7924, Ape 214, Ape 9914, Ape 8167, and Ape 4755. Altogether, these apes cost around $1.5 Million. The way this user managed to borrow $1.5 million in assets was via flash loan. What is a flash loan? A flash loan allows anyone to borrow a bunch of crypto in a short period of time as long as certain conditions are met. Unlike traditional loans, flash loans get paid back in the block where the money was borrowed. If it doesn’t, the transaction is reversed and the lender does not get scammed. I know this sounds very complex, but stick with me here. Once the user borrowed a ton of crypto, they then bought vault tokens. A vault token, according to Rambus.com, is “a secure centralized server where issued tokens, and the PAN numbers they represent, are stored securely”. After getting access to the Apes, he claimed the Ape Coin token that was airdropped and set for the owners of the apes. In an instant, this person made $1,000,000! Some may argue this is theft while others see this as a tactical play. On one side, it's stealing because the person that owned the Ape will never get to claim the tokens that were designated to be theirs. On the other hand, it's the lenders’ fault because they decided to let others borrow the Ape and its perks. Who’s side are you on?
Ape Coin’s Future
Are we in a hype bubble waiting to pop, or is Ape Coin’s growth just getting started? According to uptobrain.com, this is just the beginning of ApeCoin's future. They predict that it's all uphill from here. At the end of 2022, the coin will likely raise to $14.52. In 2023, 17.64. In 2024, back down to $14.50. And from 2025 to 2026, the coin will be in the low $20 range. Do you think these estimates are accurate? Let me know down in the comments!
Will ApeCoin see some exponential growth in the next few months? If you decide to invest in ApeCoin or any asset for that matter, make sure that you truly believe in the project and only invest what you’re comfortable losing. If you play it smart, you have a much higher chance of success! Thank you for reading all the way to the end. If you enjoyed, please consider leaving me a like and follow. I am so grateful for all the support I received over the past month and a half. Have an amazing day my friend!