Dogecoin co-founder Billy Markus claims that adding a new token to the space leads to more toxicity
Co-founder of Dogecoin Billy Marcus threw cold water on the ApeCoin (APE) cryptocurrency in a recent tweet.
Markus believes that the introduction of tokens is harmful to the NFT space since they lead to the creation of “toxic” and “desperate” communities. The owners of such cryptocurrencies become increasingly “obnoxious” during boom-and-bust cycles, according to the Dogecoin founder.
The scorching cryptocurrency was recently launched by Yuga Labs, the company behind the Bored Ape Yacht Club (BAYC) collection of non-fungible tokens. Although it was apparently created by a decentralized autonomous organization called ApeCoin DAO in an effort to avoid regulatory scrutiny.
The owners of NFTs from the BAYC collection can receive the APE token for free on the official website of the cryptocurrency. It’s also available for everyone on such trading platforms as Coinbase and Binance.
The cryptocurrency rallied strongly in its first few minutes of trading on major spot exchanges and peaked at $39.40, but that was followed by an 80% decline.
The Ethereum-based is currently changing hands at roughly $11, according to data provided by CoinMarketCap.
The launch of the governance and utility token was also accompanied by a spike in the popularity of BAYC NFTs. The floor price of the collection jumped to nearly $300,000 shortly after the token’s launch. However, this growth was short-lived.
It remains to be seen whether the APE token will reach a meaningful level of adoption.
Last month, Markus urged the cryptocurrency community to focus on real utility rather than hype-driven price action. The price of Dogecoin is down 84.12% from its record high.
