The blue chip projects are officially the peak status marker for most, if not every NFT collector. The access and benefits- not to mention the financial gains- make the entry fee worth it, IF you can afford it.
If you are outside the small percentage of collectors and whales who can afford the likes of BAYC, Cool Cats, Doodles, or Punks you may have discovered some buzzy collections known as derivatives. A few notable derivatives to reference are Creature Toadz, Phunks, and Superlative Apes.
Why Derivatives? Simply put, they are the next best thing. With a much lower initial value, and often, highly motivated, super-psyched communities, the buzz around these projects is significant. In addition, familiarity is a key component. New to NFTs? Heard of BYAC? Can’t afford one? Buy one that looks similar and has a supportive community and great benefits. It’s easy to see the selling point.
Most of the more successful derivatives have a few things in common. They are not exact copies of the originals, yet are inspired by their blue chip predecessors. Traits also are also a huge component to the success of these projects. The more traits, the cheekier the take on the original, the better. Community support is also key If collectors don’t have support from the creators, the community or general hype around the project, it’s likely to be a miss.
While most of these derivatives see success at mint and drop shortly after, the ones who have had longer term gains offer strong roadmaps and community support. Phunks (derivative of Punks) and Creature Toadz, (derivative of Creature World) are examples of projects who have kept their holders committed by following through on their roadmaps and creating excitement with marketplaces, and second collections. While some skeptics still see these projects as copy-cats, the project sell-outs and standings on Opensea say different, and I expect there will be many more to come. As always, do your own research and happy hunting.