What is Apecoin (APE)?

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ApeCoin (APE) is a cryptocurrency that powers the APE ecosystem, which evolved from the Bored Ape Yacht Club (BAYC), a popular NFT collection. BAYC features a series of unique, hand-drawn Bored Ape NFTs that grant their owners membership to an exclusive club with access to special events, digital spaces, and perks. ApeCoin is used to incentivise activity in various applications that live within this ecosystem, including gaming, art, and decentralised finance (DeFi).

Who created ApeCoin?

ApeCoin was created by the ApeCoin DAO (Decentralised Autonomous Organisation), a community-driven organisation formed to manage and govern the APE ecosystem. A DAO is a decentralised entity where decisions are made collectively by its members rather than by a centralised authority. In the case of ApeCoin, holders can vote on proposals and initiatives, influencing its development, distribution, and future direction. While the DAO oversees these decisions, Yuga Labs, the creators of the Bored Ape Yacht Club, play a significant role in shaping the ecosystem’s growth and development.

How does ApeCoin work?

ApeCoin is an ERC-20 token built on the Ethereum blockchain, which processes various activities within the APE ecosystem. ApeCoin is utilised as a utility and governance token, enhancing user interaction and participation. ApeCoin facilitates transactions within the ecosystem, including the purchase of digital assets and access to exclusive experiences. For example, holders might use ApeCoin to buy rare digital items, like limited-edition merchandise, custom-designed bored ape NFTs or participate in special virtual events linked to the Bored Ape Yacht Club.

In addition to its utility, ApeCoin functions as a governance token, enabling holders to have a say in the development and management of the ecosystem. This means that ApeCoin holders can vote on proposals, influence the allocation of community funds, and guide the future direction of the APE projects. Through this dual functionality, ApeCoin supports both the operational and participatory aspects of the APE ecosystem.

Tip

Keen to explore ApeCoin a bit more? You can learn about APE basics and get all the latest cryptocurrency news on Luno Discover.

Want to know how to buy, sell, send, or receive APE? We’ve got answers in the following help articles:

This information is not intended to be nor does it constitute financial, tax, legal, investment or other advice; nor is it a call to trade. The information is intended as general market commentary for information purposes only. Before making any decision or taking any action regarding your finances, you should consult a qualified Financial Advisor.

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