Yuga Labs Sells Game IPs to Faraway, Refocuses Strategy
In A Nutshell
Yuga Labs, the entity behind the renowned NFT collection known as the Bored Ape Yacht Club (BAYC), has recently divested the intellectual property of two of its games, HV-MTL and Legends of the Mara. This strategic move was made to a Web3 gaming company, Faraway. The sale aims to refocus the company’s efforts and enhance the BAYC team’s agility and execution capabilities. In conjunction with the sale, Spencer Tucker, Yuga Labs’ chief gaming officer, will transition to Faraway as the chief product officer to maintain continuity and leverage his expertise in the new environment.
Strategic Refocusing at Yuga Labs
The decision to offload HV-MTL and Legends of the Mara aligns with Yuga Labs’ vision to streamline its focus and unleash the full potential of the BAYC team. HV-MTL presents a ‘mech’ game where players upgrade their NFTs and environments, while Legends of the Mara offers an adventure experience within the Otherside metaverse, launched in April 2022. This strategic divestiture follows the firm’s restructuring, signaled by the return of co-founder Greg Solano as CEO in February, indicating a renewed emphasis on agility and execution.
Impact on the NFT Market
This news arrives amid a wider downturn in the NFT market, with the BAYC collection experiencing significant value depreciation. The floor price of BAYC stands at 11.7 Ether (ETH), marking a 92% decrease from its peak. This trend reflects broader market sentiments and challenges within the NFT space. Additionally, Yuga Labs’ earlier acquisition of the Moonbirds collection and involvement with Kevin Rose has sparked discussions within the community, further highlighting the evolving dynamics of the NFT ecosystem.
Our Take
Yuga Labs’ decision to sell the IP rights of two games to Faraway could be a pivotal move for both entities. For Yuga, this step underscores a commitment to refining its strategic focus and dedicating resources to its core offerings, notably the BAYC collection. Meanwhile, Faraway gains valuable IP and a seasoned executive in Spencer Tucker, potentially accelerating its position in the Web3 gaming sphere. This development also reflects the fluid nature of the NFT market, where adaptation and focus are key to navigating fluctuations and capitalizing on long-term trends. As the landscape continues to evolve, the significance of strategic agility and a clear vision cannot be overstated.
Sources
– Yuga Labs
– Faraway
