Another new project from Brother Maji? Preemptive layout of 23 BAYC NFTs is likely difficult to sell, with a holding loss of 20 million dollars over the past 4 months
KOL @0xSunNFT revealed on Twitter a story about making 150,000 U in just one minute with the MEME token BAYC, which left countless people astonished. After careful investigation, it was discovered that this might be another project by veteran crypto player Huang Licheng (Brother Maji).Author: Frank, PANews
KOL @0xSunNFT revealed on Twitter a small story of becoming rich by earning 150,000 U in just one minute from the MEME token BAYC, which left countless people astonished. Upon closer examination, it was discovered that this might be another project by seasoned crypto player Huang Licheng (Brother Ma Ji).
Arbitrage Opportunities Triggered by Price Differences
In simple terms, the project that @0xSunNFT participated in is an ERC-404 protocol that allows the conversion of Bored Ape Yacht Club (BAYC) NFTs into tokens. This project is called APE Fi, and according to the official project description, 100 million BAYC tokens can be exchanged for one BAYC NFT. Conversely, holders can also exchange their NFTs for 100 million BAYC tokens.
In reality, the current price of BAYC tokens hovers around $0.00030, matching the floor price of BAYC NFTs (9.471). In the long run, due to the project's binding with the value of BAYC NFTs, it lacks the volatility of MEME and cannot be treated as a MEME.
The reason @0xSunNFT was able to quickly profit 150,000 U is that there was a significant value difference when BAYC tokens first launched, with prices soaring to $0.003, creating a tenfold price difference. Therefore, @0xSunNFT chose to purchase BAYC NFTs from NFT trading platforms like BLUR and quickly exchanged the NFTs for BAYC tokens to sell for profit. Essentially, it was a successful arbitrage.
Since the project's launch, Huang Licheng has repeatedly posted related content on Twitter to promote it to his fans. When others questioned in the comments whether this was another Ma Ji scam, Huang Licheng retorted, "You are too stupid to see the innovation."
Early Positioning with 23 BAYC, Lack of Liquidity After Launch Makes It Hard to Cash Out
However, Brother Ma Ji himself seems to have missed this arbitrage opportunity. As of August 2, Brother Ma Ji's Ethereum address still holds 62 BAYC NFTs, and he significantly increased his holdings of BAYC NFTs in July. As a long-time major holder of BAYC NFTs, Brother Ma Ji went on a buying spree for BAYC NFTs throughout July. Statistics show that from July 17 to July 31, Brother Ma Ji's address purchased 23 BAYC NFTs. 
This move may reflect his optimism about the market direction of BAYC after the protocol's launch. However, from the current results, the floor price of BAYC has not changed significantly from before; on the day the protocol was launched, the floor price of BAYC NFTs briefly rose to 10 ETH, and trading volume surged to 378.9 ETH, but these figures quickly returned to normal. Currently, the trading pool for BAYC tokens has approximately $640,000 in funds, with liquidity equivalent to about 21 BAYC NFTs. It appears that Brother Ma Ji may need to continue holding onto his BAYC NFTs, as short-term cashing out seems to pose certain difficulties.
Harvesting 38 Million from Fans, Market Harvesting 20 Million
Previously, on March 28, Brother Ma Ji raised over 200,000 SOL for his Solana Meme project Bobaoppa, valued at approximately $38 million. After more than a month of waiting, the project finally launched on May 4, with an opening price of $0.0009055. As of August 2, the price was $0.0009057, showing price changes comparable to a stablecoin over three months. Based on the fundraising amount of $38.68 million, the user's cost should be $0.00154, while the current price is only 58% of the cost price. The liquidity pool's funds are only $1.9 million, less than 5% of the amount raised at that time. On March 30, Brother Ma Ji deposited the 156,000 SOL raised into BlazeStake for staking.
In the months following the fundraising, Brother Ma Ji transformed into an investment expert, participating in investments in well-known projects multiple times, including spending $15.35 million to buy 8.048 million FRIEND tokens, becoming the largest individual holder of FRIEND, which is now worth only $1.177 million, resulting in a loss of $14.173 million, with a loss rate of 92%.
On June 27, Brother Ma Ji again turned his attention to BLAST, spending 1,491 ETH (approximately $4.65 million) to purchase 198 million BLAST tokens, becoming the largest individual holder of BLAST, with an entry price of about $0.023. The current price of BLAST is approximately $0.0127, a nearly 50% drop.
On July 12, Brother Ma Ji deposited his 1,840 BLUR tokens into Binance for sale, estimating a loss of $3.16 million, with a loss rate of about 50.2%.
It is evident that, under the recent market downturn, Brother Ma Ji, who was previously skilled in investments, has not been spared, suffering a loss of about $20 million in just a few months. On August 1, Brother Ma Ji tweeted, "I am an artist." Clearly, investing is an art that is even harder to master.
