What is Azuki NFT?

Summary: The Azuki NFTs, including the Azuki Elementals and Beanz collections, demonstrate the influential role of community perception in the NFT marketplace. Despite facing controversy and floor price volatility, these collections continue to draw interest within the web 3 community.

The anticipated introduction of AnimeChain provides a promising layer 3 on Arbitrum for Azuki holders to engage more deeply in the ecosystem. However, the success of Azuki moving forward depends on effective crisis management and clear leadership aimed at restoring trust and harnessing these assets strategically.

What are Azuki NFTs

Azuki NFTs are a collection of 10,000 unique digital art pieces prominently shaping the profile picture (PFP) art scene. Each piece, minted on the Ethereum blockchain, originates from distinctive hand-drawn designs. The NFTs encompass various attributes such as type, hair, eyes, and backgrounds that define their uniqueness and value.

Since launching, Azuki has rapidly gained popularity, rising from an initial mint price of 1 ETH to highs of 6 ETH, a testament to its growing community appeal. Azuki holders gain exclusive access to specific content and events, enhancing the community connection. Nonetheless, it is crucial to acknowledge the volatility in these NFTs' value, highlighted by a significant drop in the floor price from 16 ETH to the current 4.19 ETH, influenced by market dynamics and community reactions to events like the Azuki Elementals controversy.

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What are Azuki Elementals?

Azuki Elementals refers to a distinct collection of 20,000 non-fungible tokens (NFTs) introduced by the Azuki brand, recognized for its anime-style digital artwork. This collection draws inspiration from elemental motifs within the Azuki universe. The first introduction of Azuki Elementals took place at a special event named "Follow the Rabbit," held in Las Vegas.

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What Happened with Azuki Elementals?

Following its launch, the Azuki Elementals collection encountered significant controversy and community backlash. The core issue stemmed from the new NFT collection's close resemblance to the original Azuki series. This perceived similarity was criticized for potentially diminishing the exclusivity and value of the initial Azuki NFTs. Chiru Labs, the creators behind Azuki NFTs, acknowledged the problem, admitting the similarity and its impact on dilution.

The controversy escalated when a group of dissatisfied Azuki NFT owners demanded refunds totaling over $38 million, claiming they had been misled. This backlash significantly affected the market perception of the collection, resulting in a halving of the Azuki Elementals' floor price. Additionally, the dissatisfaction among the community and issues with the sales process led to criticism and legal threats directed at the founders.

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What are Beanz?

Beanz is a child collection of Azuki, consisting of 19,928 NFTs that were airdropped to the community. These Beanz are described as small species sprout from the dirt, serving as sidekicks to Azuki characters. Each Bean has unique characteristics and personalities. For instance, Purple Beanz are described as "max chill" and can get red and blue Beanz to get along, while red Beanz, like Toshi, are known for their rebellious nature. The Beanz collection has been a hit on OpenSea, often reaching the top spot for the highest 24-hour trading volume.

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What is AnimeChain?

AnimeChain is an upcoming layer-3 blockchain built on Arbitrum, developed by the same team behind Azuki. It's designed as a comprehensive platform for anime creators and fans, housing an ecosystem that includes original and third-party anime content, games, merchandise, and NFTs.

As strategic partners in AnimeChain, holders of Azuki, Azuki Elementals, and Beanz are likely to receive airdropped governance tokens, allowing them to participate in the decision-making processes of the network.

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Azuki NFT Floor Price

The market for Azuki NFTs has experienced significant changes recently. The floor price, which is the minimum price at which an NFT is available for purchase, has adjusted to current market conditions. It now stands at 6 ETH, a substantial decrease from its previous high of 30 ETH. Before the introduction of the Elementals collection, the floor price for Azuki NFTs was 16 ETH. The Elementals collection itself is trading at a lower floor price of 0.8 ETH. In comparison, the Beanz collection from the same brand is currently at a floor price of 0.35 ETH.

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Azuki Founder

Azuki was initiated by an individual known under the pseudonym Zagabond (@ZAGABOND), who is also associated with Chiru Labs, the team responsible for Azuki's NFTs. Zagabond, however, has faced controversy within the NFT community. He has publicly admitted to discontinuing involvement in previous projects, which has led to some distrust among NFT enthusiasts. This history has sparked discussions about the long-term viability of his current and future projects, including those under the Azuki brand.

The release of the Azuki Elementals collection added to the controversy. Critics pointed out that its resemblance to the original Azuki collection potentially undermined the value of the original NFTs, highlighting the critical role of uniqueness in determining value in the NFT market, where rarity is often a key factor. Despite these challenges, Azuki and Zagabond continue to be prominent figures in the NFT space.

Azuki was founded by an individual known by the pseudonym Zagabond (@ZAGABOND). Zagabond is also linked to Chiru Labs, the entity behind Azuki's NFTs.

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Roadmap After Elementals Controversy

The Elementals controversy has exposed a lack of clear leadership and vision from Azuki's founder, Zagabond, and the team. This absence of direction has not only affected the Elementals project but has also led to a significant decrease in value across all of Azuki's offerings, including the Beanz collection.

Despite issuing an "apology" and outlining plans to address the issues, the team has yet to demonstrate a concrete roadmap for recovery and innovation. This uncertainty has shaken the community's confidence, contributing to the steep decline in the market value of Azuki's NFTs. The future of Azuki now hinges on the team's ability to effectively manage this crisis and restore trust within the NFT community.

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Bottom Line

In conclusion, the Azuki NFTs and their related collections, Azuki Elementals and Beanz, illustrate a dynamic and fluctuating segment of the NFT market heavily influenced by community perception and brand actions. Despite facing significant challenges, such as the controversy around the Azuki Elementals and subsequent market volatility, these collections continue to attract attention.

The introduction of AnimeChain promises a new avenue for integration and participation for token holders, potentially stabilizing and enriching the ecosystem. Nonetheless, the future of Azuki hinges on strategic navigation of past controversies and clear leadership to leverage its existing assets and community trust.