APETANK: How to Find NFT Projects with Huge Potential During a Bear Market?
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APETANK: How to Find NFT Projects with Huge Potential During a Bear Market?
APETANK is a NFT community initiative led by BAYC, serving as the most authoritative project evaluation body within the BAYC community, composed of seven overseas BAYC holders who possess significant influence in the community.
Navigating Web3 tides with focused insights"OGtown" is an authorized article column by the Chinese-speaking Cryptopunks community.
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Featured Guest Introduction
APETANK: APETANK is an NFT community initiative led by BAYC and serves as the most authoritative project evaluation body within the BAYC community. Comprised of seven influential overseas BAYC holders, projects endorsed by them are first collected by these seven members and then backed within the BAYC community. This session features insights from Jamestownkings.eth and FrankK representing APETANK.
Chinese-Speaking Cryptopunks Community Guests
88punk (punk8306): Chen Xu, founder of MetaZ – a metaverse think tank, former co-publisher of Coindesk China, and a Chinese punk OG.
Token Big Brother (punk1778): Researching blockchain since 2016. Author of mainland China's first best-selling NFT book. Co-founder of the Chinese CryptoPunk community and founder of token punk community.
Pumpkin (punk5626): A seasoned NFT veteran also known as Lazha. Has served as operator and advisor for multiple projects, and holds blue-chip NFTs across prominent collections.
Noun_74 (noun74): Founder of the Chinese-speaking Cryptopunks community and creator of the Noun Chinese ecosystem community; has incubated and mentored several Chinese NFT projects into global communities.
Host Moonlight: A bilingual Chinese-American host based in the U.S. East Coast, outstanding builder at Binance Live and Huobi Live, top channel host for Ultiverse on Binance Live, having planned and participated in thousands of programs and events.
Host Moonlight: How long do you think the NFT bear market will last?
Jamestownkings.eth: I believe the NFT bear market is closely tied to the broader crypto market. Whenever the crypto market declines or negative news emerges, NFTs easily fall into a bear phase. Typically, crypto bear markets last one to two years, so I expect the NFT bear cycle to be similar—between one and two years. Let’s stay united and get through this bear market together.
Host Moonlight: To our representatives from the Chinese-speaking Cryptopunks community, how long will the bear market last, and what characteristics might emerge in the overall NFT market during this period?
Token Big Brother (punk1778): I believe the bear market will last at least until the next Bitcoin halving, which could take quite some time. However, this cycle differs significantly from the previous two because the correlation between the crypto market and macroeconomic conditions has become increasingly tight. Currently, the global macroeconomic situation is very poor—completely different from prior bull-bear cycles.
Conservatively speaking, if the 2024 Bitcoin halving coincides with improved macroeconomic conditions, we could see a major bull run. If the macro environment remains weak, there may only be a small bull market—not substantial. For example, if the economy enters a decade-long recession, by 2024 we might witness an enormous bull market.
In the next cycle, NFTs will still be a central concept in the bull market. While each bull cycle introduces new themes, the next one won’t escape the NFT domain. The first bull cycle was driven by Bitcoin-led cryptocurrencies; the second expanded via Ethereum beyond finance into various sectors. NFTs have now ushered in a new era—the ERC721 era. The previous era focused on FTs (fungible tokens), while today marks the rise of NFTs. In this new era, PFPs experienced a massive bull run.
Looking ahead, there are several possibilities: Blue-chip PFP project prices will likely continue rising as more people enter web3. It would be unacceptable if there were no investment avenues within web3. Right now, we only see such investment directions promoted through domestic WeChat and offline posters. In the future, social media platforms will largely revolve around NFT-based identities. Therefore, PFPs will remain strong.
Secondly, building upon NFT expansion, when the metaverse era arrives, NFTs will shift from being "seen" to being actively used—people will use NFTs to build the metaverse. True web3 belongs to Loot, which remains one of the most innovative concepts today.
The next bull market will still center on the NFT space, particularly focusing on composable and scalable NFTs. Other hotspots like social applications and web3 tools will converge around this core.
Host Moonlight: Which types of micro-NFTs are especially worth investing in during a bear market?
Jamestownkings.eth: The most worthwhile NFT investments remain those in the blue-chip category. When selecting NFTs, we should prioritize projects with strong team backgrounds (such as YugaLab). I believe having a value-creating team is crucial. Additionally, investors can position themselves in NFTs that enhance security, offering better user experiences. Pay close attention to NFTs that help safeguard your assets.
88punk Chen Xu (punk8306): Let me start with my conclusion: I believe that many of the familiar projects, including most blue-chip ones, may face challenges in the next bull market. At present, the number of projects truly certain enough to invest in during this bear market might not even reach five. Of course, opinions vary on exactly which five they are.
During bear markets, all assets tend to consolidate toward the top. Despite recent global economic downturns, wealth among the elite continues to grow—a pattern seen across markets unless something as severe as the Great Depression of the 1930s occurs.
Moreover, following monetary stimulus, concentration intensifies further. The NFT market differs greatly from traditional investment markets, and investors must avoid two common misconceptions. The first is the real estate fallacy: We know properties in London’s Hatton Garden area are highly valuable—even the worst house in that prime district won't drastically depreciate.
But the NFT landscape is different—territories constantly shift. Before this current bear market, being aligned with Cryptopunks or BAYC meant standing among blue chips. After the bear market, however, you may no longer maintain that proximity—you could be completely left behind.
The second misconception is applying stock market logic. Since the creation of U.S. stock exchanges, only a handful of companies like Coca-Cola have survived nearly a century of evolution. But in crypto, web3, and NFT markets, we experience similar selection processes within just six months to a year. Ultimately, only 1% or even 0.1% will survive. Thus, I believe only about five top-tier projects will endure from this bear market into the next bull run. Yet market behavior doesn't reflect this yet—if it did, both Cryptopunks and BAYC should already trade far higher than current levels, possibly exceeding previous bull market peaks. This hasn’t happened due to two reasons: First, much capital entering the NFT space consists of speculative funds. Recent abnormal price movements in BAYC, for instance, were caused by individual whale actions. These whales often became wealthy by chance—“finding treasure”—and thus lack deep market understanding and psychological resilience. As such, their behavior is unstable.
When major shocks hit the crypto market—like Luna or FTX collapses—these actors tend to exit, leading to severely diminished liquidity in the NFT space.
However, this trend isn’t irreversible. Two key traits can help NFT projects make it into that potential list of five survivors. First: genuine long-term consensus that continuously grows. Projects like Punk and BAYC cannot rest on past brand recognition alone—they must actively promote their values and vision, expand their communities, and keep progressing despite the bear market.
Second: projects with grand visions that consistently execute—those continuing development throughout the bear market, delivering highly functional, extensible NFTs with significant future utility, whether in DID or innovative NFT formats. Such projects can endure the bear market and thrive into the next bull run. That said, let me emphasize: while many familiar projects from the last bull market may fade, only about five will likely survive—and their returns could be extraordinary.
Host Moonlight: Please share your personal overall NFT investment strategies.
FrankK: Long-term, I believe the bear market helps NFTs find their true positioning. Previously, NFTs were simple artworks sold based on hype, with short lifecycles. During the bear market, both founders and buyers focus more on utility. I believe the future of NFTs will be defined by utility.
Within APE TANK, my five partners and I deeply analyzed the concept of utility. I’ve also spoken with various founders. Through these discussions, I gained deeper insight into the essence of NFTs—why we create them. People shouldn’t buy NFTs based on hype alone, as the market is growing tired of it. What users need now is real utility.
I also think bear markets are normal. Every sector experiences corrections—even New York real estate sees pullbacks. Corrections are precisely when we should explore the fundamental nature of the industry.
In this current bear market, every founder is re-evaluating what blockchain truly brings to humanity’s future. My involvement in APE TANK allows us to observe how NFTs are built step-by-step. Personally, when investing in an NFT, if I believe the team is genuinely committed and the whitepaper compelling, I consider it a valid investment.
Commercial value cycles are accelerating. Although unfortunate events have occurred in blockchain recently, everyone anticipates recovery and works toward a shared goal. By seeking deeper blockchain fundamentals during the bear market, we will undoubtedly create a new era.
Pumpkin (punk5626): I believe there are three main types of NFTs worth buying during a bear market: blue-chip NFTs, community-driven NFTs, and short-term trading NFTs.
Blue-chip NFTs come in two forms: conservative and aggressive. Conservative examples include Punks, which carry historical value and are likely to evolve as art pieces—highly appreciable and relatively stable. Thus, Punks represent a safe choice.
On the aggressive side, BAYC offers higher volatility but correspondingly higher risk and reward. BAYC provides various passive income streams—for example, Stephen Curry’s gifted shoes worth 4 ETH a few months ago. Additionally, ApeCoin staking and virtual land (Monkey Land) offer steady yields, making holdings more comfortable.
Second are community-driven NFTs. I recommend Degen Toonz and Genuine Undead—both boast extremely active communities, buzzing with energy, where members chat hundreds or thousands of times daily. Web3 is ultimately about belonging, and these warm, passionate communities deliver that sense of connection.
Third is short-term speculation—targeting high-hype projects. For example, KPR—I bought at 0.4 ETH and sold at 0.9 ETH. These quick trades serve as paper hands, helping earn some extra meal money during the bear market—which isn’t bad at all.
Host Moonlight: Why did you decide to launch a blue-chip security project?
Jamestownkings.eth: When we started APE TANK, our goal was to create a secure tool—to protect investors and guide them toward sound investments by vetting teams and preventing purchases of unreliable NFT projects. Along the way, we realized the NFT market is flooded with scammers and hackers. This severely damages the market and erodes holder confidence. One of our APE TANK partners actually got hacked—but fortunately recovered the assets. This incident inspired us to develop the Blue-Chip Security Token. The mechanism involves binding your cold wallet assets—like BAYC stored in your wallet—to this token. You can then transfer the security token to a hot wallet, where it acts as a certified proxy for the original asset during authentication processes, serving as a bridge between ownership and verification.
FrankK: Our motivation for launching this blue-chip security project stemmed from observing countless platforms requiring asset verification to authenticate holder identity. We recognized this as an endless cat-and-mouse game—many influencers and founders teach people how to avoid scams, yet hackers continually devise new traps.
We believe this issue must be addressed at its root. Humans make mistakes—that’s inevitable. To fundamentally prevent theft, we need a new system that replaces direct use of blue-chip assets for verification. This way, even if someone clicks a malicious link, they only lose the proxy token, not the actual asset. If we don’t act, more and more people will fall victim to web3 scams, lose trust in the ecosystem, and hesitate to invite friends and family into web3 exploration.
Creating such a security system protects not only digital assets but also restores user confidence in web3. That’s why I encourage everyone to follow our APE TANK project. Let’s support each other through this tough bear market and emerge stronger into the next bull run.
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Column Introduction
"OGtown" is an authorized article column by the Chinese-speaking Cryptopunks community. Founded in 2021, it is China’s earliest and highest-value private NFT community, admitting members exclusively upon verification of owning a Cryptopunk. With over 200 verified punk holders, it stands as the most concentrated Chinese community of notable web3 figures—including founders, executives, representatives from Christie's and Sotheby’s Asia and Greater China, listed companies, renowned NFT projects, exchanges, established blockchain media, Chinese opinion leaders, and whale NFT collectors. The community maintains strong connections with top-tier overseas OGs. We welcome friends from all fields to connect with PunksCN to jointly advance the development and progress of the Chinese-speaking NFT space.
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