ApeSwap IAO #009 — Deja Vu
Quick overview for the busy investors
Here I am again, summarizing the upcoming IAO #009 from ApeSwap to share the important parts so that you, can make an informed decision of whether to participate in the token launch.
You may well know that the next project to be launch on 4 November @1600UTC will be https://galacticarena.io. This time round the window of time to commit your $BNB and/or $GNANA will be 12 hours long, instead of the 24 hour window from the last IAO.
It is a project that promises Play-to-Earn capabilities for users by importing supported NFTs into their NFTverse to do battles with other players.
Users new to the NFT space can also purchase native gaming NFTs provided in-game as well so they won’t feel left out.
Another interesting feature is the PvP mode where real players battle each other in real-time, whilst others can place bets on who will emerge victorious!
Tokenomics
Total capped supply of 1 Billion $GAN will exist barring any future burn events. IAO token launch price is set at $0.005.
1% was used for an initial “Seed" sale, my guess is for the angel investors to help start everything up. (10 month vesting)
6.5% was sold in a private sale. (5 month vesting)
4% in a whitelist sale. (4 month vesting)
16% for ApeSwap IAO (4 month vesting)
$GAN is primarily used to pay for NFTs, upgrades and in-game items in the NFTverse. There are also a few ways to earn $GAN, by gambling (PvP fights) and staking it for rewards.
Thoughts & Strats
The IAO allocation this round has somewhat differed from the past. Now both $BNB and $GNANA pools have the exact equal ratio of launch tokens, whereas in past IAOs, the $BNB pool was larger.
On top of that, this is also the first IAO where successful buyers of the launch token will see an immediate upside of a 10% gain once the token is listed on ApeSwap at $0.0055.
If you are also wondering why I titled this article “Deja Vu”, this IAO has given off some similar vibes as IAO #007 — Dragonary which went to an all time high of 70x from the launch price. Since the launch of Dragonary, the GameFi space has seen huge amount of interest from the general public.
Not to mention, the “Meta”verse narrative has been on top of everyones minds and recently by Mark Zuckerberg, who had Facebook renamed to suit their journey to a Matrix-esque world where their users will live in.
So I feel this launch will definitely be another hit — BUT with a few conditions that I will reflect upon below.
I feel that this isn’t going to be a 70x like what Dragonary was. The reason is that there are some groups of people who have supported the project prior to the IAO and will receive their tokens (cheapest purchase price was $0.0015 for the initial Seed sale) after it gets listed on ApeSwap. These folks will most likely form the initial downward pressure as they might seek to recoup their principal investment.
However, I still feel that regardless of the above fact, there is a sense of demand from watching activity in the Galactic Arena Telegram channel, the amount of scammers setting up elaborate scams and fake tokens to cheat others and the general feeling of the community’s vibe towards the project.
It will do well.
This time I will breakdown the strategies if purchasing the launch tokens into 2 sections — $BNB and $GNANA.
My $BNB strategy
$BNB is relatively easy, just set and forget and remember to claim when the IAO is done in 12 hours.
I am a conservative investor when it comes to $BNB, I don’t commit at the start and tend to watch the oversubscription rate go up so that near the end of the commit window, I’ll swap my stablecoins to $BNB, enter and once it’s done, claim and switch unused $BNB back to stablecoins again.
This way I minimize having to bear any volatility for $BNB over a 12 hour period. It is also easy for me to calculate my ROI since the price difference of $BNB over that few minutes could be relatively minimal.
My $GNANA strategy
This section is one of the most reworked portion for IAO participation using $GNANA.
Thanks to discussions with @Mcdonalds12345 on the ApeSwap Telegram channel, it made me realize that $GNANA commits have deeper impact on ROI due to the 4% tax structure of committing/claiming from IAO.
In short, the $GNANA pool oversubscription rate once past 2400% has a negative ROI, assuming the launch token price remains close to the launch price. Here’s how it works.
Assuming poor ol' Derek me has $1000 worth of $GNANA to invest for IAO, that would effectively mean the actual investment is $960 after deducting 2% + 2% of the reflect fees for going in and out of the IAO pool.
If the pool is oversubscribed by 2400% (24x), the $960 will only yield $40 worth of launch tokens.
Thus, for speculators, my advice to you is to watch the oversubscription rate on the $GNANA pool to know where is your breakeven point. Of course, if we all know that launch token prices will appreciate, then you can adjust the math accordingly.
However, it does make sense that sometimes, depending on how much demand there is for the launch token, you may need to switch to a $BNB strategy on the fly.
So that’s it for a quick round up on the upcoming IAO! For me, I have my $GNANA on the ready as usual (with a new modified strategy as well as a bag of stablecoins for the $BNB stake.
I wish everyone happy farming for the next few days leading up to the IAO and I am awaiting checking out your NFTs in the NFTverse!
~Derek JP
