{"id":20767,"date":"2023-08-07T07:17:10","date_gmt":"2023-08-07T07:17:10","guid":{"rendered":"https:\/\/nftandcrypto-news.com\/metaverse\/whats-going-on-with-neopets-nfts\/"},"modified":"2023-08-07T07:17:15","modified_gmt":"2023-08-07T07:17:15","slug":"whats-going-on-with-neopets-nfts","status":"publish","type":"post","link":"https:\/\/nftandcrypto-news.com\/metaverse\/whats-going-on-with-neopets-nfts\/","title":{"rendered":"What\u2019s going on with Neopets NFTs?"},"content":{"rendered":"
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A few weeks ago, the Neopets team announced they were ending their plans to build a Metaverse game. The news was a welcomed surprise by most Neopets fans, as many weren\u2019t thrilled by the idea of an NFT-based Neopia. Still, the question remains, \u201cWhat about those who invested in the Neopets NFTs?\u201d I wanted to take a closer look at this situation to learn what happened and how (or if) those left holding the Neopets NFTs would be compensated.<\/p>\n

What happened?<\/strong><\/h2>\n

In 2014, Viacom and Nickelodeon sold Neopets to JumpStart Games. JumpStart was primarily known for educational games like \u201cJumpStart Kindergarten\u201d and \u201cMath Blaster.\u201d However, the company had trouble supporting its Neopets community over the years, and on June 30th, 2023, JumpStart shut down entirely.<\/p>\n

Dominic Law, who was previously in charge of the Neopets Metaverse game, struck a deal with JumpStart\u2019s parent company, NetDragon, allowing the Neopets team to become an independent company. According to their announcement, \u201cIn early 2023, Neopets raised $4M in funding from various investors with plans to nurture a shared dream of an immersive, community-driven gaming experience. In tandem with additional funding from the management buyout, TNT has been primed to enact real, actionable change for Neopets.\u201d<\/p>\n

It\u2019s important to note that a healthy chunk of the money the team raised was from Web3 investors like Polygon Ventures, Blizzard Avalanche Ecosystem Fund, and Hashkey Capital.<\/p>\n

Was this a rug pull?<\/strong><\/h2>\n

I want to get one thing out of the way here: I\u2019ve always loved Neopets. I was excited when they announced their NFT project, and I got excited again after learning they went independent. But the more I learned, the more it stunk of a rug pull. Surely, the project that gave me a cute frog named \u201cNimmo\u201d to feed, care for, and send off to ruthless battles wouldn\u2019t steal money from people, right?<\/p>\n

The Neopets team quickly reassured NFT holders after many complained on Twitter. On July 17, the company tweeted<\/a>, \u201cWe have repurposed some of the best assets from the Neopets Metaverse game, but we have refocused the core game loop and overall direction. We will continue to support the Web3 community that has embraced ownership of these collections.\u201d<\/p>\n

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We have repurposed some of the best assets from the Neopets Metaverse game, but we have refocused the core game loop and overall direction.<\/p>\n

We will continue to support the Web3 community that has embraced ownership of these collections.<\/p>\n

\u2014 Neopets Metaverse (@NeopetsMeta) July 17, 2023<\/a><\/p>\n<\/blockquote>\n

But what does that mean? The people who purchased the NFTs expected to be able to use them in the Metaverse. If there\u2019s no Metaverse, Neopets has effectively robbed these investors of their tokens\u2019 primary use case.<\/p>\n

The neopetsmeta.io website is now blanketed with a message stating that they will \u201ctransition away from the Neopets Metaverse game and redistribute those resources to the development of a game that we feel can better reflect our values and vision.\u201d The message points to a Medium article that sheds more light on the situation.<\/p>\n

They mention supporting their NFT holders with perks that they\u2019ll announce soon. These perks may include \u201cphysical merch, NC items, NC, access to IRL events, and more.\u201d<\/p>\n

So, do these perks make up for the lack of a metaverse game? That\u2019s for the NFT holders to decide.<\/p>\n

Want more? <\/b><\/p>\n

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*All investment\/financial opinions expressed by us are from the personal research and experience of our site moderators and are intended as educational material only. Individuals are required to fully research any product prior to making any kind of investment.<\/em><\/small><\/p>\n<\/div>\n