Partnered With:

Asia NFT Fund: An Introduction to the Ecological Blueprint of Vulcan Dao

Read this article in 22 Minutes

Original source: Vulcan Dao

With The recent sale of Beeple's Everydays: The First 5000 Days for RMB450 million, The NFT Art Collection has come into The public eye. Recently, the world's first large-scale cryptographic art exhibition "Virtual Niche: Have You Ever Seen Memes in the Mirror", co-organized by BCA (BlockCreateArt), has set off a hot discussion on NFT and cryptographic art around the world. There is no doubt that NFT has become a global mainstream topic.

The NFT industry has entered a period of rapid outbreak

As of April 8, NFT's market value exceeded $28.7 billion, with total trading volume of $7.046 billion in the past 24 hours. Cryptoart is worth nearly $500 million and 175,000 works of art have been sold, according to Cryptoart.io.

CryptoArt market size as of 2021Q1 (source: cryptoart.io)

The expanding group of collectors has brought vitality to crypto art investment

Crypto art market in the world with an annual growth rate of 27.6% rapid growth, NFT works with an annual return on investment of 350% to create a wealth effect, directly or indirectly for collectors to create a wealth of $190,000 per capita. There are now two and a half times as many collectors as there are artists in the entire NFT art market, and that ratio is growing exponentially. Sun Bohan, founder of BCA, said in an interview that the early NFT collectors may have come from crypto holders, but now the group has expanded from Bitcoin holders and financial fund whales to traditional art collectors. The operation of DAO mechanism ensures that the investment cycle of NFT is stable and controllable within 3-6 natural months. Compared with other mechanisms, the internal investment return produced by this mechanism increases by 23%, which is more favorable to the change of new cognitive form in the general background of NFT market.

Growth of crypto artists and collectors as of 2021Q1. (Source :2021 Crypto Art Data/Dune Analytics)

Complete a large social experiment and conduct an open conception

The NFT industry is still in its early days with inadequate infrastructure. At the present stage of crypto art or NFT ecology, there is no such a systematic and healthy ecology as the traditional art market, such as galleries, auction houses, art brokers, art critics, art researchers and art critics. Currently, crypto art industry lacks ecology and infrastructure construction. The user profile for each asset class is radically different, a sign of the chaotic state of the market in its early days.

Currently, the NFT investment status in the market is still in a blank stage, and there are barriers to the public cognition of crypto art. The industry needs experts to assist in providing professional advice on crypto art rating and artist screening. DAO solutions can perfectly fill this gap, greatly improve the ROI and success rate of investment, access to better NFT investment information, so that DAO fund members can enter the NFT track in the best way. The current semi-decentralized decision-making approach is also a large social experiment in which Vulcan Dao will act as a pioneer force to break down cognitive barriers and protect the rights and interests of multi-fund members.

On March 19, Vulcan announced the launch of Asia's top NFT fund, led by BCA(BlockCreateArt) and Zonff Partners. The fund aims to reach out to the world from Asia Pacific region and promote the convergence of technology and the arts by supporting, building and investing in emerging opportunities in the NFT sector.

At the "Virtual Habitat" BCA NFT Summit 2021, which just concluded the first half, Aria Zhang, one of the founders of Vulcan DAO, expressed his positive and optimistic view of the NFT market. Vulcan Dao will encourage investors to choose their own way or the way they are familiar with to enter an emerging market like NFT. Vulcan is not a corporate property, not a public chain, not a technical gameplay, but an NFT art fund based on DAO solutions.

Vulcan DAO interpretation

Vulcan is a NFT art fund based on DAO solution. As a super large social experiment that gathers the core resources of crypto circle and art circle, Vulcan Dao gathers a group of crossover influencers to reconstruct the power structure and game rules of art market, promote economic innovation of creators, and jointly define the future of open art. Vulcan members can pool resources, create proposals, constantly optimize investment decisions and improve the DAO governance ecosystem, promote Vulcan as the highest level of NFT arts dedicated fund in Asia, and enable DAO members to best access the NFT economy and share in the prosperity of the NFT track. Vulcan will serve as the Asia NFT think tank, continuously dedicated to the discovery and collection of quality NFT assets, the main role is as follows:

· Book and purchase works of well-known NFT artists and creators

· 购入数字艺术家社区代币或社交代币来投资数字艺术家

· 接受线上线下策展委托，创建「Virtual Niche」拟幻空间定期展出作品

· 投资有助于加密艺术发展的 NFT 基建和创新项目

· 投资选定标的的 NFT 指数基金

Vulcan Dao's vision

BCA and Zonff Partners will be the initiators of the project. Together with Vulcan's creation team, the DAO solution will be explored in a more open form of group decision making and creative selection. With the help of a core team of experts, quality projects are screened in a more efficient manner. Vulcan also introduced SubDAO, a DAO infrastructure solution bridged in Poca network, as a service provider. SubDAO can not only link DAO and DAPP, realize cross-chain management of DAO, but also provide an entrance for Web2.0 to connect to Web3.0 world.

Join the Vulcan Creativity Team

Vulcan will raise the first phase of its creation team from the public. The team will consist of a GP+ Advisors and a Governance Committee (LP). The team will be managed as a "Congress + Vent + Virtual Niche". In the later stage, Vulcan will decide whether to recruit new members and their entry threshold in the form of DAO governance.

All Rights: GP has the right to vote on the fund, to make investment decisions, to know information and to share the fund.

Fund voting right

Daily business decisions, membership retention, fund flow and benefit distribution mechanism

Investment decision making power

Vulcan will make investment proposals and GP will have the right to vote on them

The right to information

Share the latest industry consultation and exhibition activities, first-hand investment related works information

Fund distribution rights

Can be directed additional issuance, in the end of the closed period according to the proportion of investment dividends

Exit mechanism:

The closing period is 2 years, and the principal and income will be settled at the end of the closing period. The fund income will be settled in USDT.

In principle, a closed-end fund cannot be withdrawn or transferred midway. However, considering the possible special circumstances of members and the realization time of investment targets, the specific execution strategy can be adjusted according to the DAO vote of all members.

Vulcan Dao Fund Profit Model:

· Share of income from investing in artwork

· Curating the exhibition and its commission income

1) The artist joins the NFT Fund, and obtains income through the fund's comprehensive planning or commission sale of his own works of art

2) & have spent When the curated work is sold for the first time, the artist gets 80 percent of the proceeds and the DAO gets 20 percent. This 20% will go into the vault without deducting any platform fees.

3) & have spent All secondary sales provide the artist with a 10 percent royalty on the sale price.

The above decisions and revenue rules can be adjusted based on DAO member voting.

Vulcan Dao regular members are given priority to participate in a series of public art activities such as BCA technology art exhibition, artist residency program, NFT science and education forum, crypto art finance course, high-end art private meeting and so on. In addition, a team of more than a dozen blockchain entrepreneurs, renowned artists, and experienced professionals will provide insights into the development of Vulcan and provide advice on NFT trends and investments.

About Launching the Team

BCA

BCA (BlockCreateArt) is a full-category crypto art NFT platform integrating crypto art creation, trading, investment collection and crypto culture and education output. It is committed to creating a crypto art ecosystem that everyone can participate in. The construction of BCA crypto art ecosystem is based on BCAEX (decentralized NFT trading platform) as the center, and BCA Studio (crypto culture IP Studio), BCA Gallery (crypto art exhibition), BCA Display (frontier terminal Display) and other business segments radiate the whole world. BCA, as an industry benchmark in the field of NFT art, brings together a group of crossover celebrities to help the blockchain industry with art and jointly build the future of crypto art. By February 2021, the total turnover of BCA has exceeded 3 million US dollars. Since its launch in October 2020, BCAEX (www.bcaex.co) has covered 16 countries and regions, signed 225 artists, and the platform has 50,000 global users.

Zonff Partners

Zonff Partners is a portfolio fund focusing on venture capital, quant funds and computing investments in the blockchain sector. Drived by industry cycle and in-depth research, we adopt more complex three-dimensional management strategies to systematically capture structural opportunities in the development cycle of blockchain. We have invested in more than 60 projects, have rich industrial resources at home and abroad, and actively participate in various excellent developer communities and autonomous organizations, aiming to jointly promote the stable development of industry ecology with entrepreneurs. Currently, it focuses on open finance, Web3 infrastructure, NFT, physical industry applications and transaction ecology track.

SubDAO

SubDAO is Poca's DAO infrastructure that allows any decentralized organization to quickly create and manage DAOs. SubDAO can not only link DAO and DAPP, realize cross-chain management of DAO, but also provide entrance for Web2.0 to connect to Web3.0 world.

Through the Web2.0 middleware of SubDAO, users can implement DAO governance directly on the traditional social platform. Subdaoo Airfone SDK enables developers to quickly integrate DAO governance capabilities into their own blockchain, web, iOS/Android mobile devices and PC applications. In addition, SubDAO has a series of templates and ecological tools that allow DAOs to implement decentralized application scenarios such as crypto asset management, credit lending, instant messaging, etc.

[Risk tip] NFT and DAO have unlimited imagination space, and Vulcan is just one way to participate in it. The NFT investment remains highly speculative, with the potential for partial or full losses. In addition, individuals may make profit or get a free ride by making collective decisions, such as buying first or raising the price, which Vulcan tried to avoid and optimize through DAO mechanism and strict screening of core members in the early stage.