What is ApeCoin (APE)?

ApeCoin (APE) is a utility and governance token that was created to empower the community surrounding the APE ecosystem, which was built on the back of the Bored Ape Yacht Club (BAYC). It is a crypto token that powers the APE ecosystem, providing holders with access to exclusive physical and digital events, online games, Web3 services, merch, and more.

The token also exists to incentivize third-party developers to participate in the APE ecosystem by incorporating the token into games and various projects. ApeCoin has a total supply of 1 billion tokens, and the contract interface disallows the minting of any more tokens, thus instilling a cap. There is no burning mechanism as well, so the supply won’t go down.

History of ApeCoin (APE)

Yuga Labs has emerged as the predominant NFT brand, notably recognized for its Bored Ape and Mutant Ape NFT collections. These exclusive NFTs have cultivated an exclusive community within the Bored Ape Yacht Club, consisting of influential individuals. To fortify the ecosystem supporting Yuga Labs' apps and services, as well as those of third-party brands, the introduction of ApeCoin became pivotal.

On March 17, 2022, ApeCoin entered the trading market, initially distributed to Bored Ape and Mutant Ape NFT holders, who received approximately 10,000 and 2,000 tokens, respectively.

Entities

The APE Foundation

As the custodian of ApeCoin, the APE Foundation serves as the foundational layer for ApeCoin holders within the ApeCoin DAO, fostering decentralized and community-driven governance. Its evolving decentralization aims to oversee day-to-day tasks, administer decisions of the ApeCoin DAO, and manage responsibilities like bookkeeping and project management to support the realization of community ideas. Through the Ecosystem Fund, controlled by a multisig wallet, the APE Foundation strives to ensure fair and inclusive growth of the APE ecosystem by facilitating collaboration among ApeCoin holders through open and permissionless governance processes.

The ApeCoin DAO

Open to all ApeCoin holders, the ApeCoin DAO enables members to participate in decisions related to Ecosystem Fund allocations, governance rules, projects, partnerships, and more through the APE Improvement Proposal Process outlined in Governance.

The Special Council

Acting on behalf of ApeCoin DAO members, the Special Council provides oversight and stewardship. Responsibilities include conducting administrative reviews of AIPs, ensuring the implementation of ApeCoin DAO's intentions through approved AIPs, safeguarding the DAO treasury, and serving as community liaisons. The Council also oversees foundation administrators and service providers, ensuring alignment with the ApeCoin DAO's objectives and values.

Tokenomics

Supply

ApeCoin's total supply is set at a permanent cap of 1 billion tokens, with no provision for minting or burning capabilities through the contract interface, ensuring that the overall supply remains constant and unalterable.

To adhere to industry standards, a portion of the tokens allocated for project contributors was initially subjected to a lock-up period. These locked tokens will be gradually released over a 48-month period, following a predetermined unlock schedule outlined in the chart, commencing on the launch day of March 17, 2022. This measured approach to token allocation aims to foster a controlled and sustainable distribution, promoting long-term stability and trust within the ApeCoin ecosystem.

Utility

ApeCoin, operating as an ERC-20 governance and utility token, plays a pivotal role within the APE ecosystem, facilitating the establishment of a decentralized community at the forefront of web3 innovation. As the open-source protocol layer of the ecosystem, ApeCoin serves multiple functions. Firstly, it operates as the governance token, empowering ApeCoin holders to actively engage in the decision-making processes of the ApeCoin DAO. Additionally, ApeCoin serves as the ecosystem's utility token, providing participants with a unified and open currency, eliminating the need for centralized intermediaries.

ApeCoin also serves as a key to access exclusive elements of the ecosystem that would otherwise be unavailable. This includes entry to exclusive games, merchandise, events, and services. Furthermore, ApeCoin acts as a powerful incentivization tool, enabling third-party developers to actively participate in the ecosystem by integrating APE into various services, games, and projects, thereby fostering a dynamic and collaborative environment.

Highlights

May 2022, Yuga Labs' new project Otherside used Apecoin for auctions.

August 2022, Luxury brand Gucci has announced that its US stores now accept ApeCoin as a payment method through BitPay.

November 2022, ApeCoin DAO NFT marketplace launched, includes custom markets for BAYC and others.

October 2023, Animoca Brands has launched the Ape Accelerator, a community-led accelerator and launchpad funded by the ApeCoin DAO.

November 2023, ApeCoin held ApeFest 2023, a conference and meetup event.