Yuga Labs, the blockchain company behind the popular Bored Ape Yacht Club (BAYC) and ApeCoin, has acquired the technology and a portion of the team from Tokenproof, a Web3 tokenization service.
The acquisition, announced on Dec. 3 by Tokenproof’s founder and CEO, Fonz O, marks a strategic move to further enhance the utility of NFTs, especially in real-world applications.
“Exciting news! I’m pleased to announce that Yuga Labs has acquired Tokenproof’s technology, and part of our talented team has transitioned to Yuga Labs,” Fonz O said in his announcement.
The Birth of Tokenproof and Its Partnership with Yuga Labs
Tokenproof’s primary mission has been to provide secure solutions for crypto users to unlock the full potential of their tokens, particularly when engaging in real-world events.
Tokenproof was conceived following the realization that NFT ownership verification was a significant challenge at in-person events like ApeFest 2021 during NFTNYC. At the time, there was no effective way to verify ownership of NFTs in real life, leading to the creation of Tokenproof.
The service quickly became a critical tool for NFT enthusiasts, allowing them to verify ownership of events and secure access to exclusive experiences.
Since its launch at SXSW 2022, Tokenproof has collaborated with Yuga Labs on multiple occasions, supporting every ApeFest event. This ongoing partnership laid the foundation for the acquisition, which is seen as a natural progression in their shared journey.
Fonz O expressed his pride in Tokenproof’s accomplishments, saying, “I’m incredibly proud to say we achieved that mission. Thanks to our years of partnership, this transition will be seamless. I’m confident this is a fantastic outcome for everyone.”
Yuga Labs’ Plans for the Acquisition
As part of the acquisition, Tokenproof’s technology team will join Yuga Labs’ research and development division, The Workshop. The division, launched in August, was established after a company restructuring, and its focus is on advancing Yuga’s metaverse project, Otherside, which aims to be a gamified and interoperable platform.
Yuga Labs co-founder Greg Solano highlighted the importance of Tokenproof’s technology in solving complex problems related to NFT utility. “Together with Tokenproof, we tackled a bunch of thorny problems, so that your monkey jpeg could safely and efficiently get you into a festival across the world,” he said, emphasizing the practical use cases the partnership addressed.
Community Reactions and the Future of Web3
The acquisition has received positive feedback from the NFT and Web3 communities, particularly from developers who have highlighted Tokenproof’s role in enabling real-world utility for NFTs.
Many see this move as a step toward expanding the functionality of NFTs beyond the digital realm, with Yuga Labs pushing to integrate these assets into various real-life experiences.
While Fonz O will not be transitioning to Yuga Labs, he remains committed to the Web3 space and is excited to continue his journey as part of the community. He also expressed his continued involvement in ApeFest, though not in an official capacity with Tokenproof, jokingly telling fans to stop asking for tickets.
This acquisition reflects the growing trend of major blockchain and NFT companies seeking to expand their technical capabilities and enhance the real-world value of their digital assets. With the addition of Tokenproof’s team and technology, Yuga Labs is poised to continue innovating in the ever-evolving NFT space.