coinquora.com
- Yield Guild Games has recently launched its YGG community token.
- The entire supply was gone in seconds when 32 whales bought the 25 million tokens.
- The initial price of the token was set too low at $0.50.
Yield Guild Games, the popular play-to-earn gaming guild, has recently launched its YGG community token. However, the entire supply was gone in seconds when 32 whales bought the 25 million tokens.
According to reports, the investment DAO focused on the use of NFTs, has raised a total of $12.5 million in just 31 seconds. It launched its YGG token on SushiSwap’s MISO launchpad via Initial DEX Offering (IDO) yesterday. The IDO was ran using a Dutch auction method wherein the price drops until all tokens are sold.
Of note, IDOs often use this method to avoid token scalping and to give smaller-scale investors a chance to buy. This time though, it seems the initial price of the token was set too low, as whales proceeded to buy the entire offering in a matter of seconds. Tokens were initially priced at $0.50.
A lot of hopeful buyers were saddened and frustrated that they weren’t able to participate in the IDO.
@YieldGuild $YGG sold out within seconds with just 32 participants. It was over even before my “Approve” transaction got through :(. pic.twitter.com/P0lW0yxBrZ
— Beyond🏛Mimesis (🍄,🍄) (@BeyondMimesis) July 27, 2021
Among the 32 whale buyers, the largest buy was from a presumable pool that sums up to 4.5 million. On another note, it is likely that people have taken an interest in YGG following the surge in popularity of the play-to-earn game Axie Infinity.
Meanwhile, based on the official post of YGG, their goal was to decentralize ownership of the guild to stakeholders and players. However, among the maximum 87.9 million tokens, 25 million have been bought by whales during its IDO. Thus, Yield Guild Games plans to distribute the remaining 62.9 million tokens to current guild members for their participation in the community.