CryptoPunks Definition
CryptoPunks are digital collectibles that exist on the Ethereum blockchain. They consist of 10,000 unique, algorithmically generated pixelated characters, none of which are exactly alike. These characters represent one of the earliest examples of a “Non-Fungible Token” (NFT), a type of digital asset that verifies ownership and uniqueness using blockchain technology.
CryptoPunks Key Points
- CryptoPunks are one of the first examples of Non-Fungible Tokens (NFTs).
- They exist on the Ethereum blockchain and there are only 10,000, each uniquely generated.
- These digital collectibles can be bought, sold, and owned like physical assets.
- Despite their simplicity, some CryptoPunks have been traded for hundreds of thousands of dollars.
What are CryptoPunks?
CryptoPunks are digital characters, each uniquely generated and existing as an NFT on the Ethereum blockchain. They were created by software developers Matt Hall and John Watkinson in 2017. The pixelated characters range from aliens and apes to zombies, with some having unique and rare attributes.
Why were CryptoPunks created?
CryptoPunks were created as an experimental project to represent identity and ownership in a digital realm. They were one of the first projects to show that blockchain could be used to establish ownership of a unique piece of digital art or content.
How do CryptoPunks work?
CryptoPunks operate on the Ethereum blockchain, leveraging its smart contract functionality. The unique features and rarity of each CryptoPunk are coded into these smart contracts. When a user buys a CryptoPunk, they receive a unique token that represents ownership of that character. This ownership is verifiable on the Ethereum blockchain.
Where can you find CryptoPunks?
CryptoPunks can be purchased or sold on many NFT marketplaces that support Ethereum, including the CryptoPunks’ official website. Dispatched by the blockchain, the purchase assures the new owner of the uniqueness and ownership of the CryptoPunk.
When can you buy CryptoPunks?
CryptoPunks can be bought at any time, as long as there is someone willing to sell. Since there are only 10,000, they are often sold at auction to the highest bidder. Although originally given away for free, they have been sold for prices into the hundreds of thousands as the NFT market has exploded.
Who owns CryptoPunks?
People all over the world own CryptoPunks — from crypto enthusiasts to art collectors. Their appeal lies in their rarity, uniqueness and their part in the origin story of NFTs. The ownership of each CryptoPunk is recorded on the Ethereum blockchain where anyone can verify who owns each token.
