NounsDAO Rises Toward Treasury Split After NFT Holders Rally for “Rage Quit.”
NounsDAO is set to see a treasury split in a week after a critical number of users of the colorful, cute digital collectibles decided to take part in the cryptocurrency’s latest “rage quitting” promotion.
Holders of 25% of Nouns’ NFTs are angry about the project. Instead of trying to sell NFTs on the open market, where NFTs are suffering from a bearish market, they are now rushing to buy Ether tokens directly to get a higher price.
The price of Nomen is now near this level for the first time since December last year. Traders looking to profit from arbitrage drive up the price. Some of these traders are well known in the “risk-free value trading” subculture of the crypto market, such as DCFGod, who owns 28 Nouns.
This is just the latest “rage stop” to show how decentralized autonomous organizations (DAOs) are themselves manage, deal with investors who have lost faith in their visions and want their money back. Projects with assets valued at less than their book value are attractive to activist traders looking to unlock the value of these assets.
The mechanism for unlocking this value in the case of NounsDAO is relatively new. Last month, the DAO approved an upgrade called v3 that enabled forking. This allowed disgruntled investors a peaceful exit.
In a YouTube video, Elad, a DAO employee, described the process.
