CryptoPunks NFT Value $1.5 Million Sold for $23,000—Here’s How

The immutable nature of blockchain was thrown into sharp relief on Wednesday when CryptoPunk #2386, valued at 600 ETH (around $1.5 million), was bought for 10 ETH (or over $23,000). Locked and ignored thanks to the now defunct website.

CryptoPunks are the most valuable Ethereum NFTs around, even years after they hit the market. Out of a collection of 10,000 profile pictures, this particular punk was so revered that he was one of only 24 to feature a monkey. One of these rare variations sold for nearly $1.5 million last week, making it the last comparable sale.

Especially during the heyday of the NFT market, some CryptoPunks were so valuable that they were sometimes split – split, or split – into smaller shares to allow more investors to take partial ownership of one.

In Punk No. 2386, the owner split it through a short-lived website called Niftex. The NFT itself was locked onto the Ethereum blockchain, and ownership rights were split into 10,000 ERC-20 tokens in 2020. Like other fractional NFTs, investors could buy and sell individual shards—but that became harder to do after Niftex shut down.

According to anonymous smart contract developer @0xquit on Twitter (aka X), Punk #2386 finally had 257 fractional holders. With the demise of the Niftex platform, however, the primary way to trade fractional NFTs has been left in limbo.

Someone had their eyes on punk #2386, but since the smart contract runs on the blockchain, they triggered buying behavior and ended up owning the NFT at a fraction of the current price.

“The setup is for any shareholder to provide a ‘gun' where they can offer a purchase price, and if no one bids, they can buy the property after 14 days,” tweeted @0XQuit, adding an unidentified person. The “Shoot Gun” started shipping on August 28.

The bid was 0.001 ETH per share or 10 ETH for all 10,000 shares. And a timer started ticking that no one could see.

Gmoney, one of the shareholders of Punk #2386, an NFT investor and founder of 9DCC, tried to block the purchase – again I tried to work with the smart contract but failed because he calculated how much he should object.

“I reached out to the two blockchain chads I know and trust the most for help,” wrote Gmoney. “I thought we blocked it.”

Instead, the bid went up, and Punk #2386 was acquired—a move that Oxkeit called “the heist of the century.”

“Gee for the new owner,” Gmoney said.

The identity of the holder of Punk #2386 is unknown, and as of writing, the now-famous NFT is not listed for sale. But previously received a bid from a buyer interested in buying 600 ETH. If he or she eventually sells for that amount, that's a 60x return on investment.

A viral tweet on the purchase described the purchase as a “heist”. But Gmoni said he didn't see it that way.

“If you want decentralized systems, you have to take the good with the bad,” he said. “It's part of the game. That's why we're here. If you don't like these rules, don't play.”

Edited by Ryan Ozawa and Andrew Hayward.