VeVe AMA For February 18, 2022
VeVe Collectibles held an Ask Me Anything (AMA) event in their Discord Clubhouse Stage channel on Friday 18 February 2022 .
Long time users of VeVe can recount the Money Transfer License (MTL) has been a moving target since 2021. The MTL, once implemented, will allow users to withdraw gems from the app in exchange for fiat. Currently gems purchased in app are not allowed to be withdrawn.
During the AMA, VeVe management outlined what users can expect from MTL implementation:
- Minimum 50 gem withdrawal
- 1,000 gem wallet is required
- 10% withdrawal fee as well as any banking fees
Over the past six months MTL has been a daily topic of discussion within the VeVe discord. Though mentioned by some, most balked at the notion VeVe would levy a withdrawal fee as high as 10% — high by industry standards. Certainly unparalleled by NFT projects similar in size and success to VeVe.
On top of the highest sales commission fee currently levied by VeVe — 8.5% — this 10% would significantly trim financial gains made by many users.
For example if you sold a VeVe comic or collectible that was licensed from Marvel for 100 gems, the commission rate would be 8.5%. This would net you 91.50 gems. After paying the 10% withdrawal fee, your withdrawal amount would be 82.35 (not including any banking fees).
Total fees levied by VeVe would be nearly 18%.
Let that soak in for a second. Whether your collectible or comic is up or down wont matter. In fact the 18% tax will hurt those selling at a loss even more.
Another issue regular VeVe users follow closely is the proposed change to the drop system.
VeVe leadership will begin beta testing the new drop system utilizing a queue in the coming weeks.
Under a queue system you are able to join a waiting room for a set amount of time ahead of a drop, usually 60 minutes. When the waiting room period has ended, all participants are randomly assigned a number based on how many people are in line. Purchases then begin with the person that is number 1 and continuing until the product is exhausted or the list of buyers in the queue is exhausted.
VeVe leadership made it clear they will not beta test the queue system with something akin to a Disney Golden Moment but would perhaps use a VeVe logo or something they consider more inconsequential.
VeVe doesn’t appear to understand these inconsequential drops will most likely become sought after collectors items much like VeVe swag (hats, neon signs, et cetera). Not only will they be uniquely designed VeVe intellectual property, can you imagine the value of scoring a collectible from the very first queue system of drops.
We aren’t all OGs from February 2021 but securing a collectible from the first ‘inconsequential drop’ is sure to command a premium.
April 18, 2022 is the target date for complete integration for the new queue system. Interestingly, rather than beta test the new queue with a small number of users, they will run the queue system concurrently with the existing drop system, alternating days. For example, they will drop a Marvel comic on Monday through the current system and then drop a VeVe logo on Tuesday through the queue system.
As a long time follower of VeVe I follow the rule of three when analyzing their time estimates. Whatever VeVe provides, I multiply by three. In this case, I think it’s a stretch for VeVe to delay the new queue system until August but also find April 18, 2022 to be unachievable.
One minor change discussed was the process for buying items in the marketplace (MP). As many users know, immediately following a drop it is quite hard to snipe an edition that is on the first page of listings. After beginning the purchase process, it is possible another user is going through the exact same process as you but has completed their purchase quicker, thus denying you that edition.
VeVe talked about implementing a reservation system similar to current drops where once you begin the purchase process, that item is reserved only for you for 240 seconds. No estimate was provided for incorporation.
Criticisms outlined in this article aside, we still consider VeVe to be an excellent NFT project deserving of your engagement.
At this point, let me remind you RadishNFT views all NFT projects through the Lens of 3 rule. Does the NFT project provide utility? Is there scarcity? Do you have an affinity for the NFT? And if the NFT is lacking scarcity or utility is this affinity strong enough to override that deficit?
We continue to believe VeVe NFTs are best in class NFT quality. Their NFT product continues to be visually stunning beyond compare. Furthermore, VeVe eschews Dapper Labs model of essentially mint on demand. Regarding utility, we see it every day through their incorporation of augmented reality.
Furthermore, it is expected these collectibles will be fully usable in the forthcoming VeVeVerse — either for yourself or to be rented out providing an income stream.
I’ll leave you with one final comment from VeVe leadership that was not directly answered to a question in the AMA, but rather a tea leaf that was shared. The VeVe team member mentioned they had a ‘huge backload of product’ from their collaborators they are ready to drop.
Buckle up folks, we’ve got missed drops to complain about!
If I missed something in the AMA or stated it incorrectly, be sure to comment on this content or share your comments directly in the RadishNFT Discord here. Thank you!
- The Golden Radish
Disclaimer: We are not financial advisors and the information here is not financial advice.
