The non-fungible token industry welcomes various collections of NFT artworks. This new interest in digital products has led to more NFT marketplaces for the sales of rare items. Unlike fungible tokens like Bitcoin and Ethereum, NFTs thrive because of their rarity. Fungible tokens are one-of-a-kind items, pushing sales at mouth-watering prices. In this article, we will be looking at Mutant Cats and if they will be valuable in the future.
What are Mutant Cats?
According to the website, Mutant cats is the first DAO purchasing and fractionalizing cool cats, CryptoPunks, and other blue Chip NFTs. The site explained that $FISH represents shares of cool cats that are in vaults. Similarly, holders of the NFTs earn 10 $FISH daily through staking.
In addition, Mutant Cats gives access to DAO voting rights and rewards. It also assured that the DAO would provide holders with access to NFT drops and other notable bonuses. Describing the cats, the site read that “an infectious disease has widespread on Ethereum, causing cats to mutate and attract fish.” This disease led to the mutation of the cats, giving them a strange and colorful look. Presently, the community has staked around 91% of the Cat NFT, leaving 9%.
Mutant cats may be the next big thing in the NFT industry, especially after its debut was an immediate success. The NFT collection is about 9999 cats with beautiful and vibrant colors. However, most cats also look strange and mutated, such as cats with only skeletons or even one with melted skin. Unlike cute and fluffy cats, which the NFT community has grown familiar with, Mutant cats shift from the norm. Still, the cats recorded an impressive trading volume when they debuted.
What is DAO?
A decentralized Autonomous Organization (DAO) means that a central body doesn’t control voting rights. Digital assets and cryptocurrencies usually have this feature, giving rise to divided powers over various computers. At first, developers created DAO as an automated and decentralized organization for improving decentralization and security.
Programmers made the system to eliminate human errors or manipulation in digital assets. Today, DAO gives asset holders the power to have a say on crucial decisions. This open-source system attempts to drive decentralization by crowdsourcing. In 2016, the DAO project launched officially, raising millions of dollars from token sales.
When using DAO, only organization members have the power to make decisions. Similarly, regulations and guidelines are written as codes, eliminating the need for supervision. As a result of DAO support, organization members will make crucial decisions for the Mutant Cat NFT. Besides Mutant Cats, other projects and protocols also utilize DAO for fitting and effective decision-making.
Blockchain aims to give individuals the liberty to make decisions, contrary to the real world. In the real world, countries have centered bodies that make decisions on behalf of the people, but DAO eliminates those bodies and gives power to the people.
How Does Mutant Cats Work?
Mutant Cat works by prioritizing a decentralized autonomous organization. As a result, holders can vote on decisions and also enjoy royalties received from some NFT marketplaces. However, the NFT uses funds from royalties to buy other non-fungible tokens, such as the Cool cats. After this, they fractionalize the NFT and distribute some to holders. That said, holders received the fractionalized tokens as $FISH, also Mutant Cat’s native token.
Many people love the initiative, attracting interested buyers to purchase the new NFT. The thing is, Cool cats are pretty expensive right now, priced at around 10 ETH. But when buyers hold Mutant Cats, they get fractionalized parts of Cool cats purchased from royalties proceedings.
Another crucial thing to note is that Mutant Cat has purchased around 10 Cool cats valued at almost $400,000. While it used a considerable part of its treasury to buy the expensive NFTs, still, it hopes to extend to other tokens. Mutant cats plan to purchase other known tokens like cryptoPunks. When you own the NFT, you can also choose to stake it to earn attractive rewards.
Looking at Mutant Cats, it’s safe to say that it has a lot of potentials. People who cannot afford Cool cats would own fractionalized pieces of the expensive NFT when they hold Mutant Cats.
Will They Become Valuable In The Future?
Today, many NFTs have skyrocketed in value, despite not being fungible. We can attribute the growth to people’s rising interest in unusual and fascinating artworks. An example is Beeple’s famous digital painting “EVERYDAYS: THE FIRST 5000 DAYS,” which sold $69 million. The sale makes it the most expensive NFT to date. Although most NFTs don’t come close to Beeple’s work in terms of value, many are gradually attracting deep-pocket individuals.
Another valuable NFT is the CryptoPunk piece. The priciest CryptoPunk is one of the nine alien punks, and the highest bidder purchased it at $7.58 million. Interestingly, buyers commenced bidding in 2017. But it finally sold when people valued digital artworks, helping it land a wealthy buyer.
Similar to CryptoPunk, Mutant Cats have varieties of captivating pictures. This could help it become the next sensation on the internet. Buyers are always in search of something original and unique. With this, Mutant Cats could become more valuable in years to come. Also, when it launches the next phase, there’s a likelihood to stir some attention for a higher value.
Conclusion
Mutant Cats is an interesting NFT as creators presented them as mutated Ethereum cats. Also, the project aims to fractionalize some known non-fungible tokens from funds in its treasury. This will help holders own other arts, such as CryptoPunks and Cool Cats.