During the last year, the Bored Ape Yacht Club (BAYC) non-fungible token (NFT) collection has become one of the most popular NFT projects. After weeks of a continuous rise in value, the current floor price for a single Bored Ape NFT is 130 ether or $382K. Following the floor price rise, the decentralized derivatives exchange Injective Pro has revealed an NFT floor price perpetual market.
Injective Pro lists perpetuals at floor price NFT
On Thursday, Injective Pro, the decentralized derivatives exchange built on the Injective Network, announced the launch of an NFT floor-priced perpetual market. The team believes that offering bottom-priced perpetuals lowers the barrier to entry in terms of popular and expensive NFT collections such as BAYC. “[Floor price perpetuals enable] retail users to trade based on the floor price of NFT collections, without having to hold custody of the NFT itself,” the trading platform explained.
Bored Ape Yacht Club (BAYC) is one of the most expensive floor prices today as a single BAYC NFT has a floor value of 130 ether or $382K. The floor value gives the entire Bore Ape collection a market capitalization of around $3.81 billion. Out of 6,401 owners, the BAYC NFT collection has seen $7.99 million in 24-hour trade volume. The platform Injective Pro will allow customers to go long or short on NFT floors for $1 or more.
“The NFT market has now entered the mainstream, but the most popular collections such as Bored Ape Yacht Club remain out of reach for most given the high prices,” noted Eric Chen, CEO and co-founder of ‘Injective Labs during the announcement. “The Bored Ape Yacht Club’s perpetual price floors are intended to give everyday traders exposure to this market, leveling the playing field for most to join the Bored Ape community.”
NFT derivatives and perpetuals follow other concepts like using NFTs as collateral for loans and fractionalized NFT markets. For instance, an NFT lending platform called Arcade, has millions of dollars worth of NFTs in escrow. The platform allows NFT owners to borrow, lend, and earn with their Bored Apes or other popular collections of value. Additionally, statistics show the fractionalized NFT market has a market valuation of around $8,713,345 today.
Essentially, the new NFT perpetuals give digital collectible investors the option to buy or sell the non-fungible token derivative for a certain price in the future. Injective Pro believes floor-priced perpetual markets will “enable more users to gain exposure to high-value assets or hedge against NFT market volatility.” Meanwhile, NFT floor price data from coingecko.com shows BAYC’s floor at 130, while Opensea stats show the floor value on this particular NFT exchange is 138.5 ether.
Injective Pro’s announcement details that the company worked with the NFT portfolio management firm Nftbank in order to “create a custom price feed for the BAYC collection, which validates the initial price of the market.
