What Are Cryptopunks? Learn More About This Rare NFT Collection That Sells For Thousands of Dollars

Over the past few years, the cryptocurrency space has grown immensely, giving rise to the popularity of various crypto coins and NFT projects. One particular NFT project, called ‘Cryptopunks’ has become especially popular among NFT collectors, and thus the prices of Cryptopunks NFTs have skyrocketed. To understand why Cryptopunks is so popular, one must understand what exactly an NFT is. NFTs or ‘Non-Fungible Tokens’ are digital cryptographic tokens that can be created and stored on blockchains. Since they are stored on the blockchain, the NFTs are immutable and cannot be replicated. NFTs can be artworks, or digital documents or they can even be used to represent real-world objects. Moreover, proof of the ownership of an NFT is also stored on the blockchain itself, meaning nobody can steal the NFT or tamper with it.

Cyryptopunks is one of the earliest NFT projects built on the Ethereum blockchain. Matt Hall and John Watkinson, the creators of Larva Labs, made a programme that generated 10,000 unique 8-bit pixel portraits of 24x24. All the portraits were generated by the programme through algorithms and each of the 10,000 portraits has its own unique look and distinctive features.  According to the creators, the NFT portraits were based on inspiration taken from the 1970s punk movement of London as well as cyberpunk films and novels, which signified a rebellious, anti-establishment outlook. When the Cryptopunk NFTs were initially released, anyone with access to the Ethereum blockchain could claim a Cryptopunk NFT portrait for themselves, by paying only the gas fee. The creators kept 1000 NFT portraits for themselves, but all the rest were claimed very quickly by the crypto community.

As one of the earliest NFT projects, the Cryptopunks NFT portraits hold a special value in the hearts of NFT collectors and crypto enthusiasts. Moreover, only 10,000 Cryptopunks portraits will ever be created which creates scarcity among the buyers and enthusiasts. Cryptopunk NFTs also feature some great and creative designs and the price of NFT portraits can also depend on how they look. The more rare, unique, or special a design, the higher will its price be on the open market.

While originally the Cryptopunks could be claimed freely, the only way to buy a legitimate Cryptopunk NFT portrait is to buy it off an NFT marketplace. As of April 2021, the average price of a Cryptopunks NFT portrait was around $30,412. Some unique Cryptopunk models have been sold for millions of dollars. Cryptopunk #7804, a wise-looking alien smoking a pipe, was sold for $7.5 million in Feb 2021. The most expensive of these was Cryptopunk #5822, which was sold for $23.7 million in Feb 2022.

If you’re unfamiliar with cryptocurrencies and NFT marketplaces, buying an NFT can be a somewhat complex task. Fortunately, there are a few simple steps you can follow to buy this NFT safely. First, you will need to set up your own ‘cryptocurrency wallet’, where your cryptocurrencies and NFTs can be stored and transferred. Once your wallet has been set up, check out the price of the Cryptopunk NFT portrait that you wish to purchase, then buy the equivalent value of Ethereum/Ether (ETH) plus the gas fee from a crypto exchange or through P2P. Once the Ethereum is in your wallet, you can go to the Larva Labs website and purchase an NFT portrait by transferring the Ethereum from your wallet to the Larva Lab marketplace. However, crypto and NFT prices are highly volatile and if you plan to buy any NFT, you should reconsider how much you may be willing to pay since the price of your NFT can fluctuate wildly.