Why cryptopunks are so expensive This project was created by | NFT

Why cryptopunks are so expensive

This project was created by Larva Labs back in 2016. They, using an algorithm, generated 10,000 unique characters from random mixed attributes: someone has an earring, someone has glasses or a cigar, etc. like that.

This point - the uniqueness of each character with a larger number of them, is one of the criteria that gives "cryptopunks" value.

After the implementation of the project, the guys did not start trying to sell them, and the company published on some forum that everyone can release one NFT from this collection absolutely free of charge.

But even at that moment, no one took them, because no one even thought about collecting digital art. But after the project was published on one well-known Mashable forum, all cryptopunks were simply dismantled.

And when the hype around them rose, and everyone wanted such a “punk”, there was no such possibility, because all the punks of this studio were released for free. After that, an instant secondary market appeared and the only way to buy a cryptopunk was to buy it from any person.

Thus, the Larva Labs team created a secondary market for collectibles on the blockchain and inspired the developers of the Ethereum network to create a unique protocol for working with NFT called ERC-721.

We can say that “cryptopunks” is the first page, the first chapter of this whole NFT story that is unfolding right now before our eyes.

People buy punks not because of some practical use, but because of a story that proved its viability from 2016, this story continues to this day