Another rug pull has been the most recent endeavor in an unofficial collection of Minecraft NFTs. The project called "Blockverse," which considered a "client-server software that allows users to trade and earn in-game assets on the Ethereum network without third-party interference." It also allowed for players to battle one another using real money. The play-to-earn PvP Minecraft server seemingly sold $1.2 million USD worth of tokens. Bitcoin and Ethereum are the most widely used cryptocurrencies, and they have been for a long time. After all, these pioneer blockchains have existed longer than Bitcoin has! Ten thousand NFTs were made available by BlockVerse at $124 per token, or 0.05 ETH each. All the NFTs were sold out in less than eight minutes, but days later, the project’s creators pulled the plug and even delete their Twitter account.
According to a screenshot from the creator posted on Etherscan, over $1.2 million USD equivalent in ETH had been raised from investors before Blockverse was shut down. This is just another story of a token sale gone wrong. The project originally stated that it would be using its funds for hiring more employees and purchasing computer servers to use for hosting the game. Furthermore, 50% of its monthly profits would be distributed back to the community through dividends.
The project’s website had previously announced that they will be distributing Blockverse tokens on May 1st. However, following the abrupt shut down of the project, it has since announced that distribution will continue happening every Monday instead.
While this is a relatively new project, the entire idea of selling blockchain-based NFTs for a “Minecraft” server that has not been launched seems very suspicious. While this is just one instance in a long list of ICO failures, it definitely does not give investors much confidence in the Ethereum platform.Although the project was not an officially endorsed Minecraft creation, it is still a shame that investors have been burnt. The implications of this will be seen in the future as other projects could potentially shut down but continue to make their way around Ethereum-based NFTs by continuing to do business as usual.