Decision points: marketplace collections and finder’s fee. Proposed: ecosystem assets and a 0.20% finder’s fee alongside preferred alternatives.
With NFT Embed, ApeCoin DAO owns the marketplace of choice for ecosystem assets and other curated projects. NFT Embed is a free tool from Graviton, providing Shopify and Stripe functionality for NFTs. This enables ApeCoin DAO to deploy a marketplace on our domain within minutes.
Proposed marketplace fee: 0.50%, including a 0.30% base fee and a 0.20% finder’s fee (customizable amount and recipient, by collection).
NFT Embed is powered by Universe’s decentralized, open-source, audited marketplace that supports any collection and major tokens including $APE. Building with trustless, customizable solutions mitigates counter-party risks and compounds economic benefits attributable to marketplace ownership.
ApeCoin DAO enables a self-sustaining ecosystem by deploying a marketplace via NFT Embed.
- ApeCoin DAO generates finder’s fee revenues. Based on the proposed 0.20% finder’s fee, ApeCoin DAO would have generated $10 million of revenue to date.[FN1] The recent sale of BAYC #9670 would have generated $200.
- Community savings. Based on the proposed 0.50% marketplace fee, the community would have saved $27 million to date. The recent sale of BAYC #9670 would have saved $2,200.
- Trustless, customizable solutions. Marketplace ownership mitigates counter-party risks of hosted solutions while enabling strategic growth opportunities and brand development. These opportunities are discussed more in III. Rationale.
NFT Embed is a powerful marketing tool. The curated growth opportunities are endless. This zero-cost solution takes minutes to deploy on our domain.
A marketplace is more than $APE utility. It is a growth engine for our brand. With NFT Embed, we lay the foundation for exponential growth starting now.
In the short-term, our marketplace is curated for ecosystem assets. NFT Embed is integrating with reservoir and gem, ensuring ensure deep marketplace liquidity. This competitive solution drives user acquisition and retention and begins to change marketplace habits engrained in web3 natives.
Image I – ApeCoin DAO Marketplace with NFT Embed, BAYC
In the medium and long-term, NFT Embed enables ApeCoin DAO to pursue strategic growth opportunities, empower our community, support philanthropic causes, and expand utility for $APE.
- Strategic opportunities. ApeCoin DAO should support projects building on Improbable. As an early adopter on this interoperable platform, we are positioned to capture attention and become the marketplace of choice for all projects launching on Improbable. Users generally prefer a single-solution and may be unaware of or too risk averse to use other third-party marketplaces, perfect for market capture.
- Community empowerment. ApeCoin DAO should support creators building with ecosystem IP. For example, ApeCoin DAO can support Jenkins the Valet: The Writer’s Room by embedding the collection into our marketplace and directing the referral fee to Jenkins or otherwise setting it to zero.
- Philanthropic goodwill. ApeCoin DAO can periodically or consistently route finder’s fees to philanthropic endeavors supported by the community. For example, ApeCoin DAO can support ecosystem initiatives including the Jane Goodall Legacy Foundation, @apefather’s good deeds idea, @maariab’s idea in AIP-96 with support from @azeem from Gitcoin, and/or consider options discussed by members of ApeCoin DAO here. More broadly, we could follow in Universe’s footsteps and support lobbying efforts that fight for better laws and policies surrounding cryptocurrency.
- $APE utility. Although outside the scope of this proposal, ApeCoin DAO should consider an $APE staking module that remits finder’s fees directly to stakers (potentially acting as membership to a marketplace subDAO / working group). One answer to @joshthebeast24’s question: What can I do with my Ape Coin while the market is down?
Further, community members, affiliated artists, news publications, or even independent bloggers can use NFT Embed to support their own $APE powered projects or ecosystem projects with ease. For example, Jenkins can launch a marketplace on its site (in addition to linking to OpenSea), earning finder’s fees and growing the brand.
As demonstrated, the finder’s fee can incentivize or support any collection or cause with ease. We can use this lever to offer benefits to genesis collections or weight finder’s fees based on $APE allocations. And this lever can mitigate risks attributable to marketplace revenue. See IX. Marketplace Revenue: Risks and Alternatives.
Furthermore, a decentralized marketplace drives safety and security to private sales and more broadly the industry. ApeCoin DAO can and should lead this initiative by leveraging the power of NFT Embed. Become a best practice.
NFT Embed is a competitive offering, as depicted below.
Table I – NFT Embed Features and Risk Profile
The teams at Universe and Graviton are 35+ strong and have vast experience building in web3. They are supported by numerous advisors and other contributors (e.g., Aaron McDonald, Kain Warwick, Kieran Warwick, Santiago R. Santos, Tommy Shaughnessy, DeFi Dad, and many more).
Table II – NFT Embed, Certain Founders
Universe and Graviton are multi-discipline builders. For example, apart from the marketplace, Universe has built a custom bridge to polygon and launched a mobile game on iOS. Graviton is launching a web3 streaming platform on Arbitrum in conjunction with Livepeer. BarnBridge is migrating its DAO from mainnet to Optimism and has partnered with Aave.
There is tremendous talent backing NFT Embed. Talent ApeCoin DAO can trust.
Collectively, NFT Embed is a significant step-forward in delivering on our collective responsibility to leave everything better than we found it. This free solution can be deployed within minutes and was built by members of ApeCoin DAO.
We should vote to support this excellent value proposition built by and for our community.
IV. Key terms
“$APE+” means $APE and other ERC-20 supported by Universe.
“Ecosystem assets” means BAYC, BAKC, Serums, MAYC, and Otherside NFTs.
“Gem” means gem.xyz, an NFT aggregator.
“Graviton” means graviton.xyz, creator of web3 / NFT tools, services, and platforms for creators and fans to thrive together.
“NFT Embed” means the product as described on nftembed.org, provided by Graviton and powered by Universe.
“Reservoir” means reservoir.tools, provider of open and permissionless access to aggregated NFT liquidity with complete API for building NFT marketplaces and applications.
“Universe” means universe.xyz, a community driven and royalty enabled NFT protocol.
“Website” generally includes any website that supports iFrame embeds.
NFT Embed is a fully customizable widget that allows you to display and sell NFTs on any website, complete with marketplace functionality and wallet connection out of the box. NFT Embed code is compatible with web builders that support iFrame embeds, such as Webflow, Shopify, Squarespace, and Wordpress.
VI. Steps to Implement
NFT Embed Documentation: How to Use NFT Embed
Graviton Medium Article: How to Sell NFTs From Your Website in 5 Minutes (Free Embed Code) (August 3, 2022)
Universe Medium Article: The Universe Expands: Embed NFT Collections Today (August 15, 2022)
Arweave News Article: How To Easily Embed NFT Sales Into Your Website Using Universe (August 29, 2022)
NFT Embed is free to use and designed for simplicity. To deploy:
- Open your website workspace
- Find an NFT or collection you’d like to embed on a webpage.
- The code you need for your webpage is on the left sidebar of nftembed.org; complete the inputs.
a. Set-up collection royalties here.
b. Set-up preferred NFT Embed options, including the finder’s fee.
c. Tip: Enable custom styling to match the aesthetic of your project
d. Examples: BAYC, MAYC , Serum, BAKC, Otherside, Jenkins.
- Select Copy
- Paste the widget code into your website
- Go live
Image 2 – NFT Embed Example - BAYC w/ inputs, 0.20% finder’s fee
Image 3 – NFT Embed Example - MAYC w/ Custom Style
As the marketplace functionality and wallet connection is fully integrated into your platform, you have full control over your brand image and the customer experience.
NFT Embed can be deployed within minutes of approval. The variables in this proposal will become fixed prior to finalization of this AIP. Thus, deployment is simply a matter of data entry and cut-and-paste as described in VI. Steps to Implement.
VIII. Overall Cost
NFT Embed is free to use. Graviton and its advisors – including members of ApeCoin DAO – are willing to assist with launching our curated marketplace on our domain. See, e.g., Table II – NFT Embed, Certain Founders.
IX. Marketplace Revenue: Risks and Alternatives
ApeCoin DAO cannot accept revenue or diversify its treasury because we lack foundational infrastructure, processes and procedures. Therefore, the proposed finder’s fee is not without risk. These issues are discussed by this author here, here and here, amongst other places.*
This proposal generally adopts the multi-sig approach approved in AIP-98 (risk-on), but also offers other alternatives (risk-off). The alternatives are dependent on ApeCoin DAO’s preferred approach.
- ApeCoin DAO route’s finder’s fees to support philanthropic causes, the authors preferred approach. See III. Rationale for various philanthropic options.
- ApeCoin DAO sets finder’s fees to 0% and offers a competitive marketplace fee of 0.30%.
Approach 1 for some collections, approach 2 for others.
Again, a marketplace is more than just $APE utility. It is a growth engine for our brand. At this juncture, ApeCoin DAO should pursue a marketplace approach that maximizes brand growth and minimizes risks.
Thank you for your consideration.
NFT Embed Twitter.
Graviton and Universe share a discord.
FN1. With an example 0.20% finder’s fee and a marketplace fee of 0.30%, the DAO earns 0.20% and the community saves 2.00% on every sale as compared to OpenSea. The $amounts used in the body are derived by applying these percentages to sales volume found here (as of September 24, 2022).
Image 4 – Ecosystem Sales, as of September 24, 2022
FN2. Regarding treasury diversification, Universe and ApeCoin DAO may consider an $APE for $xyz swap to further align the economic incentives of our DAOs as posited here.
Disclosure: the author of this AIP holds $xyz and is a member of the Universe DAO, but otherwise has no other financial affiliation with any parties mentioned and is not being compensated in any manner for proposing this idea.