Ornella Hernandez

The crypto industry, especially the centralized finance (CeFi) sector, has been <a href="https://blockworks.co/news/genesis-halts-lending" target="_blank" rel="noreferrer noopener">spun into chaos</a> following the revelation of FTX’s major market fraud. The bankrupt crypto exchange’s former CEO <a href="https://blockworks.co/news/what-do-tom-brady-steph-curry-and-naomi-osaka-have-in-common-an-ftx-lawsuit" target="_blank" rel="noreferrer noopener">Sam Bankman-Fried is now being sued for $11 billion</a> in damages.



An NFT-related casualty is the collection of Coachella NFTs stuck on the NFT marketplace without the option to withdraw or transfer them. The lifetime passes that generated $1.5 million in sales are now stuck on the custodial platform, <a href="https://twitter.com/_Kaspar__/status/1592542238361669632?s=20&amp;t=Qi1RMApzAjDzYC7C6pdGxw" target="_blank" rel="noreferrer noopener">currently disabled</a>.&nbsp;



Nevertheless, Web3 companies keep on trudging and building through this crypto winter. And a few winners of the week emerge, mainly Yuga Labs, Nike and Azuki.



Here are some notable stories that caught the eyes of the Web3 Watch.&nbsp;



Yuga Labs has been busy



The parent company behind Bored Ape Yacht Club (BAYC) <a href="https://news.yuga.com/yuga-labs-acquires-wenew-10ktf-figge" target="_blank" rel="noreferrer noopener">announced</a> on Monday its acquisition of WENEW Labs, an NFT venture co-founded by Mike “Beeple” Winkelmann. This new addition to the Yuga Labs family included the NFT collection 10KTF — a digital fashion shop in a “New Tokyo” universe.&nbsp;



Beeple has also joined the Yuga team as an advisor on the project, and Michael Figge, former WENEW CEO, is now Yuga’s chief content officer.&nbsp;



10KTF joins BAYC, Mutant Ape Yacht Club (MAYC), Bored Ape Kennel Club, Otherdeed for Otherside, CryptoPunks and Meebits collections.&nbsp;



The 10KTF shop is run by artisan Wagmi-san and offers metaverse-ready accessories and digital wearables from the top Ethereum NFT collections, from BAYC to Moonbirds and Nouns. The store has also collaborated on special merch with brands such as Louis Vuitton, Playboy, Wimbledon, Gucci, Puma and others.&nbsp;



Yuga’s metaverse, Otherside, hinted at a possible collaboration with 10KTF, <a href="https://twitter.com/OthersideMeta/status/1592165612721426433?s=20&amp;t=VShuBxK3wC9xoIkYSgVTEw" target="_blank" rel="noreferrer noopener">tweeting</a> “Welcome to the Otherside, Wagmi-san.” Following the Monday announcements, four Yuga Labs NFTs still top the volume charts on OpenSea at the time of writing — BAYC, MAYC, Otherdeed for Otherside and CryptoPunks.



While BAYC has seen the most trading volume in ETH over the past seven days on OpenSea, its floor price briefly fell by more than 20% this week. After hovering around 60 ETH for the past couple of weeks, the floor price fell to 48 ETH, the lowest it has been since December 2021.&nbsp;



This allowed CryptoPunks to flip BAYC’s floor price. The current lowest priced punk available is for 66.79 ETH ($79,537), while the cheapest Bored Ape is going for 62.05 ETH ($73,559). CryptoPunks’ floor price has remained neutral to market conditions since early 2022 and seemingly unaffected in the aftermath of FTX.



Bored Ape NFTs, on the other hand, may have been affected by a rush of buyers on peer-to-peer lending platform BenDAO. It allows users to borrow up to 40% of an NFT’s floor price, and if the loan repayment fails, then the NFT will go on sale in a 48-hour auction.



Concerns over buying interest on BenDAO may have “pummeled the floor,” as punk9059 <a href="https://twitter.com/punk9059/status/1592670164453306368?s=20&amp;t=jTX6iDiBqFrzxhDby18rXA" target="_blank" rel="noreferrer noopener">tweeted</a>, and led to higher than average daily trades this week.&nbsp;&nbsp;



Nike’s new NFT world



Nike, who already owns the popular RTFKT NFT project, launched an NFT marketplace called .Swoosh — yes, with the dot — built on Polygon. The sports apparel company <a href="https://blog.swoosh.nike/what-just-happened-74f854d6c00f" target="_blank" rel="noreferrer noopener">described</a> it as “our own special place on the internet where you can collect and help shape Nike virtual creations.”



Users can trade virtual apparel, sneakers, accessories and other collectibles to dress up an avatar and also unlock access to in-real-life products and events. Benefits could range from preordering a physical item, chatting with the shoe designers or even athletes that Nike sponsors.



The first collection will drop closer to the New Year, and the idea is for the community to be involved in future drops. It will host creator challenges where users can earn a royalty from the virtual products co-created with Nike.&nbsp;



Users will be able to create their own .Swoosh IDs as free NFTs minted on Polygon, which are necessary in order to access the platform. It’s like Nike&#8217;s proprietary version of the open Ethereum Name Service (ENS).



Registrations for .Swoosh ID&#8217;s start on Nov. 18, and once a user claims their ID they will be given a BitGo wallet.



Nike’s Web3 plans include an educational aspect. The company plans to go on a tour across the US, starting in Austin, TX, hosting tutorials and workshops on how their products work.



The brand works with some of the top athletes and celebrities in the world, such as Cristiano Ronaldo, Lebron James, Michael Jordan and Serena Williams to name a few. This means that any potential .Swoosh drop from one of them could likely help to onboard millions of new users into the space — similar to how Reddit’s NFT market onboarded nearly 3 million non-native users in only a few months due to its easy-to-understand language.&nbsp;



Nike also hinted at the possibility of video games and immersive experiences that may be coming soon. Nike <a href="https://blockworks.co/news/web3-watch-crypto-gaming-console-in-the-works-nikes-metaverse-plans" target="_blank" rel="noreferrer noopener">filed a trademark application</a> for “video game integration” of NFTs in June with the United States Patent and Trademark Office.



Azuki to Race in F1



The Formula 1 season finale is coming up in Abu Dhabi this weekend, and Azuki holders and fans may be in for a big surprise.&nbsp;



Oracle Red Bull Racing, its main crypto sponsor Bybit and Azuki creator Chiru Labs have emblazoned Lei the Lightning Azuki #8494 on the side of a race car. 


<div class="wp-block-image">
<figure class="aligncenter size-large"><img loading="lazy" decoding="async" width="1024" height="683" src="https://blockworks-co.imgix.net/wp-content/uploads/2022/11/Bybit-Azuki-NFT-1024x683.jpg" alt="" class="wp-image-39556" srcset="https://blockworks-co.imgix.net/wp-content/uploads/2022/11/Bybit-Azuki-NFT-1024x683.jpg?w=1024 1024w, https://blockworks-co.imgix.net/wp-content/uploads/2022/11/Bybit-Azuki-NFT-1024x683.jpg?w=300 300w, https://blockworks-co.imgix.net/wp-content/uploads/2022/11/Bybit-Azuki-NFT-1024x683.jpg?w=768 768w, https://blockworks-co.imgix.net/wp-content/uploads/2022/11/Bybit-Azuki-NFT-1024x683.jpg?w=1536 1536w, https://blockworks-co.imgix.net/wp-content/uploads/2022/11/Bybit-Azuki-NFT-1024x683.jpg?w=2048 2048w, https://blockworks-co.imgix.net/wp-content/uploads/2022/11/Bybit-Azuki-NFT-1024x683.jpg?w=386 386w, https://blockworks-co.imgix.net/wp-content/uploads/2022/11/Bybit-Azuki-NFT-1024x683.jpg?w=392 392w, https://blockworks-co.imgix.net/wp-content/uploads/2022/11/Bybit-Azuki-NFT-1024x683.jpg?w=329 329w, https://blockworks-co.imgix.net/wp-content/uploads/2022/11/Bybit-Azuki-NFT-1024x683.jpg?w=80 80w, https://blockworks-co.imgix.net/wp-content/uploads/2022/11/Bybit-Azuki-NFT-1024x683.jpg?w=50 50w" sizes="auto, (max-width: 1024px) 100vw, 1024px" /><figcaption>Lei the Lightning Azuki #8494 on Red Bull Racing&#8217;s car | Source: ByBit</figcaption></figure></div>


Racers Max Verstappen and Sergio Perez will get to ride in the NFT-adorned car during the Grand Prix. Red Bull Racing and Verstappen dominated the F1 season this year.



Christian Horner, CEO of Oracle Red Bull Racing, stated that being “the first to put a blue-chip NFT on a Formula One car is a tremendous feat.”



F1 fans may get a chance to own a limited-edition version of the Lei the Lightning Azuki #8494 on a first come, first served basis to be minted on Tezos for free.&nbsp;



Azuki founder Zagabond said that “Lei the Lightning Azuki reflects the passion, precision, and raw power” and that F1 is now part of Lei’s story.&nbsp;



Along with Tezos as a sponsor, the cryptocurrency exchange Bybit is a principal team partner of Oracle Red Bull Racing since February 2022. The Formula 1 industry has been a big proponent of the cryptocurrency space, however, reputation means everything.&nbsp;



Another F1 team, Mercedes-AMG Petronas, decided to terminate the sponsorship agreement it had with FTX since September 2021 following the bankruptcy saga.



Web3 gaming awards



A new Web3 gaming awards event hosted by Polkastarter Gaming is set to round out the year next month. The Gam3 Awards, as it’s called, <a href="https://polkastarter.gg/news/gam3-awards-announcement/" target="_blank" rel="noreferrer noopener">intends</a> to recognize 2022’s best Web3-based games.



<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter"><div class="wp-block-embed__wrapper">
<blockquote class="twitter-tweet" data-width="550" data-dnt="true">Awarding the best gam3s 🎮 16 categories. 30+ industry leaders. $300k prizes. 📅 15 December 2022. Save the date. Voting starts soon ⬇️<a href="https://t.co/p0niqHYzHw">https://t.co/p0niqHYzHw</a> <a href="https://t.co/8n0ArqZXS1">pic.twitter.com/8n0ArqZXS1</a>&mdash; GAM3 AWARDS | 15th Dec 🏆 (@PolkastarterGG) <a href="https://twitter.com/PolkastarterGG/status/1592160570794704899?ref_src=twsrc%5Etfw">November 14, 2022</a></blockquote><script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
</div></figure>



A 30-person jury, along with the crypto gaming community, will judge over 100 games nominated across 16 different categories to vote on the best ones.



Some of the categories include game of the year, best graphics, best mobile game, best shooter game and best multiplayer game. There’s even a category for most anticipated game because video games take a long time to build and creating anticipation for one is important for its success.&nbsp;



The event plans to broadcast across Polkastarter Gaming’s Twitch, YouTube and Twitter channels. Winners of the first GAM3 Awards can earn a share of $300,000 worth of prizes from sponsors such as Immutable X, Blockchain Game Alliance, Machinations, Naavik and Ultra.



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Web3 Watch: Yuga Labs Adds to Portfolio, Nike Creates NFT Marketplace

Ben Strack

<div id="highlights-block_6270f2b2a2cff" class="highlights">
 <ul>
 <li>OKX has more than 20 million users across 180 markets</li>
 <li>Miami Grand Prix title sponsor Crypto.com became the first cryptocurrency sponsor of Formula 1 last year</li>
 </ul>
 
</div>



The upcoming Formula 1 race in Miami — already carrying the name of a crypto company — will also have a team sponsored by a competing firm in the space.



Ahead of the Crypto.com Miami Grand Prix on May 8, exchange OKX has partnered with McLaren Racing in a multi-year deal worth “hundreds of millions,” a spokesperson told Blockworks.



OKX branding will appear on McLaren cars during the event, as well as on the suits and helmets of McLaren F1 drivers Lando Norris and Daniel Ricciardo.&nbsp;



“We choose our partners on the basis we can provide fans and users with meaningful experiences; we aren’t simply interested in brand exposure,” OKX Chief Marketing Officer Haider Rafique told Blockworks in an email. “We want to invest in the fans as well as our partners and lay a strong foundation for long-term future collaborations.”



The deal comes shortly after Rafique joined OKX from competing exchange Okcoin. Before Okcoin, he was head of growth for Blockchain.com and was a head of product marketing at Microsoft.&nbsp;



Rafique was a special adviser to the OKX executive team earlier this year and helped drive a multimillion-dollar <a href="https://www.mancity.com/news/club/manchester-city-official-cryptocurrency-exchange-partner-okx-63781936" target="_blank" rel="noreferrer noopener">partnership agreement</a> with Manchester City. The company announced last month he will build a global marketing team to make crypto mainstream and lead the company’s international expansion efforts.



OKX is the second-largest<a href="https://t.nylas.com/t1/13/4o5yb89j2dw4ujinc1ct9szs9/0/8751de503f1dc461fa4533165db5a8ae9bcc4b706237a3f337cf6fccbbee9ad8" target="_blank" rel="noreferrer noopener"> exchange by trading volume</a>, according to data compiled by Blockworks, and reports having more than 20 million users across 180 markets.



Crypto.com became the first cryptocurrency sponsor of Formula 1 in a reported $100 million deal, <a href="https://blog.crypto.com/formula-1-r-announce-crypto-com-as-global-partner-and-inaugural-partner-of-the-f1-sprint-series/" target="_blank" rel="noreferrer noopener">the company announced last June</a>. It revealed in February that it would be the title sponsor of the Miami Grand Prix. 



Still, the deal is the first of its kind, an OKX spokesperson said, noting that no other crypto company has been the largest partner to a Formula 1 team before. Bybit in February <a href="https://www.redbullracing.com/int-en/oracle-red-bull-racing-gears-up-to-the-next-level-as-bybit-joins-the-charge" target="_blank" rel="noreferrer noopener">became a “top tier ally”</a> of Red Bull’s F1 team, behind title partner Oracle.   



“In a rapidly-evolving field, OKX is a long-established crypto brand that brings innovation, analytics and accuracy to accomplish great things,” McLaren Racing CEO Zak Brown said in a statement. “The first-ever Miami Grand Prix is the perfect occasion for us to launch this significant partnership, through which we will collaborate with OKX to take our fan experience to all new levels.”



<hr class="wp-block-separator has-alpha-channel-opacity"/>



Start your day with top crypto insights from David Canellis and Katherine Ross. <a href="https://blockworks.co/newsletter/empire">Subscribe to the Empire newsletter</a>.



Explore the growing intersection between crypto, macroeconomics, policy and finance with Ben Strack, Casey Wagner and Felix Jauvin. <a href="https://blockworks.co/newsletter/onthemargin">Subscribe to the Forward Guidance newsletter</a>.



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