Pepe the Frog NFT Joins Andrew Kang’s Collection

Andrew Kang, co-founder of Mechanism Capital, has acquired the original Pepe the Frog NFT from the defunct crypto hedge fund Three Arrows Capital (3AC). This purchase, facilitated by the prestigious auction house Sotheby’s, marks a significant addition to Kang’s already impressive NFT collection.

The Pepe the Frog NFT, recognized for being the first officially authorized by the character’s creator, Matt Furie, originates from Furie’s Boys Club comic series. It’s famous for depicting the iconic “feels good man” meme, a digital asset that carries significant cultural and internet history.

Initially, this digital artifact exchanged hands for 420 ETH (approximately $1 million) in April 2021. Its value appreciated considerably by October 2021 when Starry Night Capital, a venture by 3AC dedicated to NFT investments, secured it for 1,000 ETH, roughly translating to $3.5 million at that time.

The downfall of 3AC in mid-2022, precipitated by the broader collapses within the cryptocurrency sector, including the downfall of FTX and the stablecoin UST along with its counterpart luna, led to the liquidation of its assets, including this unique NFT.

Andrew Kang’s collection, a testament to the burgeoning value and interest in NFTs, features diverse assets such as 50 Azukis, a Fidenza, three Bored Apes, 11 Mutant Apes, and 6 CryptoDickbutts. The collective worth of his NFT holdings is estimated at $6.69 million by Dappradar.

This acquisition not only underscores the enduring allure of culturally significant NFTs but also highlights the intricate interconnections between cryptocurrency market dynamics and the evolving landscape of digital art ownership. As the digital assets market continues to mature, transactions like these signify the blend of investment strategy and a deep appreciation for the art and history embedded within the NFT space.