TL;DR

• Some folks are MAD at Yuga Labs, for how they're running the bidding for their Bitcoin NFT auction.

• Potential buyers need to send their full bid amount to Yuga. If they win, Yuga keeps the BTC and sends the NFT. If they lose, Yuga sends the BTC back to each potential buyer.

• Yuga are known to be trustworthy. Other projects? Not necessarily.

• And when the largest name in the NFT space does something, it sets a precedent that says 'this is how things are done.' Which sets the stage for a new type of scam to emerge…

• Create a fake project → promise to send any/all losing bids back to participants → promptly run off with everyones Bitcoin.

Full Story

Oooh, some folks are maaaad at Yuga Labs (the Bored Ape creators), for how they're running their Bitcoin NFT auction.

Here's why:

If you want to bid on a Twelve Fold NFT, you need to go to twelvefold.io and send your full bid amount to Yuga.

If you win the bid, they keep your BTC and send you your NFT.

If you lose, they send your BTC back to you.

But here's the catch:

None of this is automated. So you're sending your BTC over to Yuga, and trusting that they'll send it back, if you lose.

Which, in this case, is a pretty darn sure thing. Yuga are a $4B company - they're not going to trash their reputation for a couple hundred thousand dollars worth of Bitcoin.

The reason some parts of the Bitcoin NFT community are mad is that, when the largest name in the NFT space does something, it sets a precedent that says 'this is how things are done.'

If users become accustomed to blindly sending their Bitcoin to an NFT project's bidding address - it sets the stage for a new type of scam to emerge

For example:

Create a fake project → promise to send any/all losing bids back to participants → promptly run off with everyones Bitcoin.

And it's not just a few anons on Twitter complaining about the precedent being set...

Casey Rodarmor, the dude who made Bitcoin NFTs 'a thing,' had some stern words for Yuga:

Damn! Casey ain't messing around.