KYC checks are required for Yuga Labs’ Otherside metaverse land sale
Virtual land auction participants will be required to undergo Know Your Customer (KYC) checks this week, a departure from the more relaxed norms typical in the industry.
According to a tweet from Otherside, anyone who desires to buy in the auction of metaverse land NFTs slated for 12 pm ET on Saturday would first need to pass a KYC check.
One of the most popular NFT collections, Bored Ape Yacht Club (BAYC) and Mutant Ape Yacht Club (MAYC), is a blockchain-based virtual environment by Yuga Labs (MAYC). Yuga earned $450 million in a March seed fundraising round, headed by Andreessen Horowitz, which valued the company at $4 billion for building the Otherside metaverse.
There will be units of land for sale at Yuga Labs’ next weekend auction, which alludes to digital real estate in any metaverse. A Dutch-style auction will be used to sell land NFTs, with bids starting high and lowering toward a reserve price as the bidding war progresses.
In the unregulated NFT market, KYC, the gathering of an individual’s personal information, is a rare occurrence. Prior Yuga Labs NFTs, like the Bored Ape, Mutant Ape, and Kennel Club NFT collections, did not have KYC. This is significant. This time, instead of just accepting ether offers for previous sales, bids in the Bored Ape NFT cryptocurrency apecoin will be accepted as well.
NFT holders of the Bored Ape and Mutant Ape NFTs will be able to claim the land NFTs, according to another Otherside article. Ape NFT holders seem to be the intended recipients of this airdrop, but the team has not provided any other information.
After the auction, holders of BAYC and MAYC will be eligible to claim an NFT for 21 days, a Twitter post said. A KYC check is not required for this particular claim. According to the proposal, personal verification would be required only of individuals who place bids in the auction.