The sudden announcement of Mega Collector FranklinIsBored retiring from Web3 and selling off a lot of his Bored Ape Yacht Club (BAYC) NFTs has caused a stir in the NFT market. In a tweet, Franklin revealed that he was the victim of a rug pull, where his investment of almost 2000 ETH was flushed down the drain in a casino gambling Ponzi scheme. The sale of at least 27 BAYC NFTs, valued at $2.8 million in ETH, was triggered by the aforementioned announcement.
The Recent Slump in BAYC NFT Floor Prices and FranklinIsBored’s Abrupt Exit
BAYC is a collection of 10,000 unique NFTs, each depicting a bored ape character with distinct traits and accessories. It has become a popular asset in the NFT market, with some of its NFTs fetching millions of dollars.
Nevertheless, the recent slump in the collection’s floor price has caused apprehension among BAYC holders and investors. Cryptowatch data shows that the floor price for the BAYC collection plunged to its lowest level in five months, dropping to 54.37 ETH.
The news has left many wondering what really happened, especially given Franklin’s past trading habits and market manipulation. Twitter user @web3bandit went on about what could have possibly happened in a fairly detailed Twitter thread.
The Rise and Fall of BAYC Mega Collector FranklinIsBored in the NFT Market
For those unfamiliar with Franklin, he is a BAYC whale. He became famous for showing off his big bags on social media. However, he also gained notoriety for making costly trade mistakes due to his “fat fingers.” One such incident cost him 100 ETH, a costly troll attempt.
To cover his losses, Franklin resorted to market manipulation, which he openly admits to in a recent apology. He has been building a reputation as a “market maker” on the NFT trading scene, as evidenced by a large Twitter thread by @k2_nft, which shows him and @machibigbrother using Blur bids to brazenly manipulate the floor prices of several collections.
Moreover, Franklin recently pumped an obscene amount of ETH into the defunct online casino, Dice2Win, which raises many questions. Why would he pump ~ $3m into an obscure online casino, and why has he never mentioned this publicly, even after the site pulled the rug?
Franklin claims to have lost ~2000 ETH to a lone bad actor, which he allegedly invested almost $4 million due to seeing others put money into the venture. However, given his poor trading practices, committing such a large sum without due diligence is bizarre.
Ethics in the NFT Market: The Need for Due Diligence and Mass Education
The NFT trading scene idolizes toxic behaviors like gambling, market manipulation, and personality cults. As so, these need to be re-evaluated. As the industry leaders gather at NFT NYC 2023 to discuss how to improve the NFT space, the conversation must shift towards ethics. There needs to be more emphasis on due diligence and investment in mass education.
However, ZachXBT, a Twitter user, has called the entire thread speculation and not what happened. We remain to see if there is more to the story or if this is indeed the truth. Nonetheless, the incident serves as a warning to those in the BAYC NFT scene and wider NFT market to be wary of market manipulation, gambling, and other toxic behaviors.
Lessons Learned from the Retirement of Mega Collector FranklinIsBored in the NFT Market
The retirement of Mega Collector FranklinIsBored and his selling off of his BAYC NFTs has shaken up the NFT market. Some have questioned is past trading habits and market manipulation. The recent rug pull and investment in an obscure online casino also raising even more concerns.
The NFT trading scene must re-evaluate its promotion of toxic behaviors and shift towards ethics. One with more emphasis on due diligence and investment in mass education.