- YugaLabs announced the auction of its first Bitcoin NFT, “TwelveFold.”
- 288 TwelveFold inscriptions out of 300 will be available at the auction.
- The top bid at the time of preparing this article was 1.11 BTC.
Non-fungible token (NFT) group Yuga Labs has announced its first Yuga Bitcoin NFT collection auction. As a result, it is facing some criticism from the crypto community, as well as the creators of Bitcoin Ordinals, over how it plans to auction off its new Yuga Bitcoin NFT collection. The community is pointing out flaws in the way it conducts the auction.
On March 5, Yuga Labs announced the bids of its “TwelveFold” collection, which was scheduled to start at 3 pm PT on March 6, 2023.
According to a March 5 press release from Yuga Labs, the TwelveFold collection will consist of 300 generative pieces that will be minted on the bitcoin blockchain in BTC.
A total of 288 TwelveFold inscriptions out of 300 will be available at the auction. The remaining 12 TwelveFold inscriptions will be put back for donations, contributions, and philanthropic efforts.
To participate in the auction, users will need two Bitcoin wallet addresses.
As YugaLabs reported, Users will need to reference two addresses:
- A wallet address must include the bitcoin that users want to use for bidding.
- The second self-custody, taproot-enabled wallet address must be empty. This is the user’s recipient address. This is where users’ ordinary inscription will be sent if they place a successful bid; Alternatively, this is where their bid will be returned if it is unsuccessful.
The Yuga team suggests that users don’t hold any other bitcoin in their recipient’s address because users don’t want to mix their mined BTC with other Bitcoins and accidentally send it out of their wallet.
Once users have set up their wallets, they will be provided a unique deposit address to place their bid. Users only have to send their bids to BTC only. After placing the bid, if users come in the top 288 bids list, their bid will be reflected in the auction’s leaderboard.
As reported, a total of 288 inscriptions will be auctioned, and 288 highly successful bidders will be awarded after the auction. “Each TwelveFold piece will be sent to the receiving address given by the successful bidder at the time of placing their bid.”
The platform also noted that those who did not “win a spot in the top 288 will have their bitcoins returned to their receiving addresses.”
Reaction to Crypto Community
However, such a scheme has drawn attention from some within the crypto community, with some saying that manually refunding failed bids is akin to the “stone age.”
A user behind an ordinal technical fellow named “Ordinally” gives the name “Scammer’s dream” to the auction of Yuga Bitcoin NFT collection. He also added, “They are taking custody of bidders’ bitcoin with a promise to send back unsuccessful bids. Not doubting they’ll do that,” but how it carried out the auction sets a “REALLY bad precedence.”
The criticisms weren’t enough to deter cashed-up bidders from consolidating the top spot to grab the first BTC collection of the Yuga.
The top bid at the time of preparing this article is 1.11 BTC (about $25,000), according to the Twelvefold official website, with the lowest bid recorded as 0.011 BTC, or about $250.
In the report,Yuga Labs also warned not to place bids with any third-party wallets because wallets cannot receive funds. They requested to make bids with a self-custodied wallet only.