The Nouns NFT collection has been around for a while, but it doesn’t appear to be generating the same noise and excitement as its competitors. While the likes of Bored Ape Yacht Club and CryptoPunks are often in the spotlight, Nouns remains a shadowy enterprise. Despite this, the collection appears to be outperforming CryptoPunks and seeking to take on BAYC.
While Nouns have a fairly high average price, this could be owing to the collection’s relatively small number of transactions. As a result, the average price is more likely to rise above $250,000. The Nouns collection still has a long way to go before it can compete with collections like BAYC and CryptoPunks in terms of trading activity. Nonetheless, the fact that the average Noun NFT sale is approaching projects like Bored Ape Yacht Club is a clear sign that the collection has the potential to become a true-blue chip project.
Daily Auctions
The Nouns Auction Contract will function as a self-contained Noun generation and distribution mechanism, auctioning one Noun every 24 hours, indefinitely. All auction earnings (ETH) are automatically deposited in the Nouns DAO treasury, administered by Noun owners.
When an auction is settled, a new Noun is minted, and a new 24-hour auction is started. While the winning bidder benefits the most from the settlement, it can be triggered by anybody, allowing the system to auction Nouns with confidence as long as Ethereum is operating and there are interested bidders.
Nouns DAO
The governing body of the Nouns ecosystem is the Nouns DAO, which is based on a fork of Compound Governance. The treasury of the Nouns DAO receives 100% of the ETH earnings from daily Noun auctions. Each Noun is an inalienable member of Nouns DAO, with one vote on all governance issues. Votes for Nouns are non-transferable (if you sell your Noun, your vote goes with it), but they are delegable, meaning you can assign your vote to someone else as long as you own your Noun.
