Goblintown NFT Migration Underway Amid Rug Pull Rumors

Goblintown sparked major controversy in the NFT space last week. The project changed the metadata of the collection without any warning, angering its holders and drawing sharp criticisms from the wider Web3 community. Why did Goblintown change its metadata?

Why did Goblintown change its metadata?

Truth Labs, the company behind Goblintown, decided to replace every Goblintown NFT with the same animated picture of a middle finger holding up more middle fingers. Above the middle finger, the team included a message reading, “Fuck royalties. Fuck supporting builders and creatives. Flipping is the heart of what web3 special. Honor the flipper, fuck the community. Long live the slow rug.”

Truth Labs also clarified the situation with an additional message beneath the middle finger stating, “Goblintown, Illuminate, The187, and Grumpls will be migrating to new contracts before Monday the 17th of April. All holders will be airdropped identical replacement NFTs. Wait for after the migration to buy. This NFT will have no value after Thursday, the 13th of April.”

Goblintown made the move to update their contract to enforce royalties on Blur and OpenSea. The team felt like it wasn’t fair that sellers were circumventing Goblintown’s 5% creator royalties. They decided to announce the contract migration with the project’s trademark tongue-in-cheek communication style, hence the middle finger character.

How did the Goblintown community react to the news?

It backfired. Many holders immediately sold their Goblintown NFTs into wETH offers. Some people assumed the worst and thought Truth Labs effectively burned the entire collection. These people took to Twitter to slam Truth Labs, complaining that they paid premiums for unique assets that had now become fungible.

Other people just didn’t appreciate the tone of the message, especially considering the project is down more than 95% since reaching an all-time high floor price over 9 ETH last year. This group criticized the project for blaming the negative price action on flippers. Instead, they felt that Truth Labs bore the responsibility for failing to drive value to holders and shouldn’t be pointing fingers at all (middle or otherwise).

The team followed the metadata change by freezing trading on OpenSea and Blur. Holders could still trade on Truth Labs’ native marketplace, however. On Sunday night, the project airdropped new matching Goblintown NFTs to holders on the new contract.

What is Goblintown?

Goblintown came out in May 2022 during Ethereum’s major meltdown from over $3,000 to under $1,000. Large Twitter accounts warned their followers to sell their crypto holdings as the space was entering a max pain zone called “Goblintown”. Truth Labs seized the meta by launching the 10k project pointing fun at the crypto space’s collective angst.

The Goblins were playful characters that mocked influencers and the space in general. The team hired performers to conduct huge Twitter spaces in which they spoke a goblin language and welcomed listeners to their new home, Goblintown. The floor prices skyrocketed as the project provided a much-needed laugh for Web3.

The Goblintown contract migration, while unpopular and poorly executed, will give Truth Labs the necessary funding to support the project moving forward. Whether or not they can stay relevant in the NFT space remains to be seen.

The post Goblintown NFT Migration Underway Amid Rug Pull Rumors appeared first on NFT Evening.