In May 2025, CryptoPunks was 'sent to the museum.'
To be precise, it is Yuga Labs that transferred the intellectual property of this project, which pioneered the NFT art era, to a non-profit organization named Infinite Node Foundation (NODE).
The latter announced that this acquisition includes all the intellectual property of CryptoPunks, along with a $25 million cultural fund, which will promote an ambitious museum collaboration plan aimed at incorporating CryptoPunks into mainstream global art institutions.
It also boldly announced, "This is not a transfer of ownership, but liberation."
Within hours of the announcement, the floor price of CryptoPunks quickly rebounded to around 48 ETH, and transaction volume also saw a noticeable increase. The once-silent trading interface became active again, as if reminding people of the glory that this set of pixel icons once carried.
This blue-chip project, once regarded as the 'totem of Web3', is entering a new chapter after years of market peaks and emotional lows. The foundation has also formed an advisory committee to manage CryptoPunks, with Larva Labs founders and artists Matt Hall and John Watkinson returning to manage the committee, joined by Wylie Aronow (Yuga Labs) and Erick Calderon (Art Blocks).
In addition, NODE will hire Natalie Stone as an advisor to support the NODE team during the transition.
But is this 'return' a new beginning or the end of an era?
From Vanguard to Classic: The Past and Present of CryptoPunks
CryptoPunks was born in 2017, created by the Canadian developer duo Larva Labs, inspired by punk culture and generative art. 10,000 pixel avatars were minted for free, at a time when there was no NFT market, and only a small number of Ethereum users claimed these images through smart contracts.
What truly made CryptoPunks a totem of crypto culture was the explosion of the NFT market in 2021. That year, NFTs became a mainstream topic of discussion; from Christie's auction house to mainstream media, all focused on this new asset class. CryptoPunks, due to its 'originary' identity, was regarded as a 'classical artifact' of digital art, and prices soared.
In August 2021, Visa announced the purchase of CryptoPunk #7610 for 49.5 ETH, calling it 'an important asset for enterprises entering the NFT era.' This move sparked widespread imitation and fueled a short-term craze for institutional NFT purchases.
In the same year, several Punk avatars were auctioned at high prices at Sotheby's and Christie's, such as Punk #7523 (commonly known as 'Covid Alien'), which sold for $11.7 million at Sotheby's, setting a record for a single Punk auction. During the most frenzied phase of the NFT market, CryptoPunks' total transaction volume once exceeded $3 billion, cementing its mythic status as a 'top blue-chip'.
However, the peak did not last long. With the launch of the Bored Ape Yacht Club (BAYC) in the spring of 2021, which quickly built a strong social community, commercial authorization system, and celebrity marketing power, CryptoPunks gradually revealed its fundamental yet silent limitations.
Newer players have won larger user bases through flexible IP licensing, merchandise, and party events, while CryptoPunks has gradually been marginalized in terms of community engagement and scalability due to Larva Labs' non-commercial stance, which prevents holders from commercializing their Punk IP.
This division ultimately led to Yuga Labs acquiring CryptoPunks and Meebits IP in March 2022. Initially, the acquisition news had a positive impact on the price of CryptoPunks, but the actual progress following the acquisition did not advance as aggressively as the outside world expected.
CryptoPunks was not heavily commercialized under Yuga; on one hand, it avoided the vulgarization of IP, but on the other hand, it did not establish an active ecosystem like BAYC. During the two years of the Web3 winter, CryptoPunks gradually became a 'respected but untouchable' presence.
A symbolic 'de-financialization', a non-profit foundation takes over the NFT totem.
The buyer of this sale, Infinite Node Foundation, is a non-profit foundation established in 2025 by venture capitalist Micky Malka and curator Becky Kleiner, aiming to incorporate internet-native art into the mainstream cultural system and to conduct research, exhibitions, and archiving.
According to NODE, this acquisition is not a traditional merger; the foundation promises to build a permanent exhibition space in Palo Alto and will showcase the complete set of 10,000 CryptoPunks for the first time. This marks the first instance in NFT history where a project is curated in its entirety.
At the same time, the venue will run a real-time Ethereum node, emphasizing the 'on-chain locality' and 'immutability' of on-chain art.
NODE's language is very clear; they want to secure a formal position for internet-native art within academic systems and museum institutions. It seems that CryptoPunks is completing a transformation of identity, no longer a tradable commodity but a 'cultural heritage' that can be exhibited, studied, and narrated.
However, this transformation is not entirely romantic. Although the transaction amount was not disclosed, the $25 million cultural donation fund that NODE simultaneously established may hint at Yuga Labs' 'profit-taking exit.'
For the latter, selling CryptoPunks seems more like a resource focus and financial optimization. Yuga initiated large-scale layoffs in 2024 and clarified that the core of its business would be concentrated on the Otherside virtual world and the ApeCoin ecosystem. Selling Punks might be a rational sacrifice.
Who is defining the 'artistry' of NFTs?
Interestingly, the main thread behind this transaction has to some extent shifted from valuation or floor price to the status of art history.
NODE's involvement has incorporated CryptoPunks into a more traditional cultural narrative: permanent collections, academic research, art curation... These terms sound more like the responsibilities of MoMA or the British Museum rather than the everyday discussions of the crypto community.
In fact, the trend of NFTs moving towards 'museumization' has long existed. In 2023, Autoglyphs were collected and exhibited by the Serpentine Gallery in London; Fidenza and Ringers began to be categorized by curatorial institutions as representatives of the 'generative art movement'; Beeple's Everydays became a starting point for NFT 'museum residency' after selling for $69 million at Christie's.
From this perspective, the emergence of NODE is a mild arrangement; it does not attempt to 'empower' CryptoPunks nor change its original appearance, but rather incorporates it into a systematic art protection track.
If the buyer were a commercial company, its operational logic would likely be IP licensing, commercial collaborations, and traffic monetization. While these practices could bring short-term gains, they might dilute CryptoPunks' symbolic status as a hallmark of digital native culture.
However, new questions arise: what is the next narrative for NFTs?
NODE stated in their announcement: "This is not a transfer of ownership, but liberation." As CryptoPunks become old money and 'collection items', we may also be witnessing NFTs slowly turning from high-volatility financial experiments to low-frequency cultural forms.
The transformation of CryptoPunks serves as a mirror reflecting the anxieties in this industry.
CryptoPunks has changed hands again, with Ribbit Capital as the backer. Will it usher in new opportunities for development?
The ancestor of NFTs, CryptoPunks, officially changed hands again after being sold to the developers of Bored Ape BAYC, Yuga Labs.
On the evening of May 13, the iconic NFT and crypto art piece CryptoPunks officially changed hands - a foundation named Infinite Node (referred to as 'NODE') acquired it from Yuga Labs.
Although the transaction terms have not been disclosed, media (NFT Now) cited multiple insiders stating that NODE paid about $20 million for this acquisition. In response to this news, CryptoPunks' floor price rose from 42 ETH to 47.5 ETH.
CryptoPunks and its new 'home' NODE
"The 'ancestor of NFTs' CryptoPunks was launched by Larva Labs in 2017 and is widely regarded as a catalyst for the modern digital art movement. Larva Labs is a creative technology company founded by Matt Hall and John Watkinson.
Thanks to the significance and far-reaching impact of CryptoPunks, with a total transaction volume exceeding $3.07 billion, these two creators have entered the ranks of the best-selling living artists.
In March 2022, Larva Labs transferred the intellectual property of CryptoPunks and another work, Meebits, to Yuga Labs. Three years later, CryptoPunks changed hands again, landing in its new home, NODE.
Yuga co-founder Wylie Aronow (also known as 'Gordon Goner') commented, "We have always been committed to enhancing and protecting their cultural heritage, but we understand that Punks need a permanent home for inheritance. Seeing this vision realized with the help of the Node Foundation feels like returning to the original starting point; they are the most capable of protecting Punks' cultural heritage."
The NODE Foundation, founded by Ribbit Capital founders Micky Malka and Becky Kleiner, is a non-profit organization dedicated to the preservation, research, and exhibition of digital art. Its aim is to elevate the status of internet-native artworks and integrate them into broader cultural and academic discussions.
In April this year, the NODE Foundation announced it received a $25 million grant from Malka and Kleiner to advance its vision for the future of digital art. The organization claims to be a 'perpetual fund driven by mission' and stated that this acquisition 'opens up a new model for protecting internet-native culture.'
Clearing the path to mainstream art
Even though the sales of CryptoPunks exceed all living contemporary artists, it has never made it onto traditional art rankings or entered mainstream discourse. NODE believes that addressing this cultural gap first requires redefining the experience of digital art.
"Our goal is to build a networked structure that allows digital art like CryptoPunks to thrive in the digital realm while also being integrated into the grand narrative of art history," NODE stated, committing to continue and promote the Punk spirit through three main pillars.
Preservation: Relying on advanced blockchain infrastructure to ensure the technical integrity and long-term availability of CryptoPunks;
Community: Building a vibrant ecosystem that connects digital innovators and art enthusiasts;
Expansion: Creating new scenarios that allow CryptoPunks to serve as examples of technological innovation as well as subjects for research and display as artistic achievements.
NODE plans to build a permanent exhibition hall in Palo Alto to display all 10,000 CryptoPunks. An Ethereum full node will also run in the venue, enhancing the accessibility and sustainability of the collected works.
Micky Malka stated, "Through museum-level preservation methods combined with a perpetual donation fund, we aim to establish a future-oriented safeguard for this milestone work, making it easier for scholars, curators, and collectors to interact with it."
To achieve the above goals, NODE formed an advisory committee composed of well-known figures from the CryptoPunks community and crypto art, including Matt Hall and John Watkinson, Wylie Aronow, and Art Blocks founder Erick Calderon (also known as 'Snowfro'). During the transition, they will hire Natalie Stone as an advisor to manage the project.
Guarding cultural fundamentalism
After the announcement of the acquisition, the community generally interpreted it as a positive development, and subsequently, the floor price of CryptoPunks rose from 42 ETH to 47.5 ETH.
"This is undoubtedly good news for the punks," CryptoPunks holder @VonMises14 expressed high appreciation for this acquisition, believing it means that the punks IP has found its endpoint, "it can develop and grow there without any form of monetization or corruption."
Due to individual blue-chip NFTs 'self-destructing' and CryptoPunks having nearly been 'contaminated', the Punks community is particularly concerned about brand value and cultural purity.
A year ago, Yuga Labs launched the Super Punk World NFT series based on CryptoPunks, which was met with strong opposition and criticism from the community. Most people believed that the excessive 'woke culture' displayed by Super Punk World severely deviated from the core of the original punk work, and many directly stated that Yuga Labs was destroying the Punks.
After strong opposition, Yuga Labs co-founder Greg Solano immediately stated, "We will no longer touch CryptoPunks; we will only decentralize it and keep it on the blockchain." He mentioned plans to support museums and institutions in acquiring it to promote the original works to the public.
However, protecting the cultural value of CryptoPunks as art may also require controlling its usage, reproduction, or monetization methods. As lawyer @jabranthelawyer, who focuses on the Web3 field, pointed out, "If NODE follows traditional cultural protection strategies, it is not hard to imagine new restrictions: will the freedom of punk commercialization be reduced? Will the control of derivative projects be stricter? Will there be limitations imposed in the name of cultural integrity?"
Yuga Labs immediately granted IP usage rights and commercialization licenses to NFT holders after acquiring CryptoPunks, allowing them to freely create, display, and monetize on a personal and commercial level. However, whether NODE will retain these commercial rights after the acquisition remains uncertain for now.
That being said, this may not be the main concern of the punk community; for them, perhaps not stirring the pot is the best choice.
#CryptoPunks #LarvaLabs #Meebits #bayc
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