Since the market took a major dip in early May 2022, many NFT projects have been struggling to stay alive. The massive crash in value, influenced by TerraLuna and a variety of other factors, has created bearish sentiment against NFTs to spread on the Ethereum network. However, amidst all the fear and doubt, a few projects have still been able to create value for traders and collectors alike. 

The most notable collection lately, called Goblintown.wtf, has created some of the biggest excitement this month after mysteriously releasing on a free mint and garnering extreme rumors which have propelled the project’s floor price upward. 

What are goblins?

Not much is known about this project. While the team has a presence on social media (including Twitter and their own website), none of their platforms actually explain much of anything about the goblin tokens. 

To go even further, their discussions hosted on Twitter Spaces have been even more confusing with the team speaking in goblin language (which can only be summarized as gibberish) over a shoddy cymbal backing track. When the team does decide to speak English they vaguely talk about eggs and “selling merch.” There is no roadmap of any sort either, leaving many to speculate what the future holds for the project. 

So, the real question is why are these goblins selling for so much without any information or coherent communication from the goblin team?

Rumors surrounding goblins

One of the biggest drivers of this collection has been through rumors which can create some of the most powerful sales for any project. 

Once the goblins started getting more attention throughout the weekend, people began to question where they came from and who was creating them due to the lack of information coming from the team. 

The fact is, no one knows what to expect from this project. Little was known about it before the tokens were minted. No one knows who the team is or what the token entails. 

Goblintown.wtf rumors include:

• 1% of Yuga Labs revenue comes from goblins

• Goblins would inhabit Otherdeed land plots 

• Falsely associating themselves with Steve Aoki

• A McGoblinBurger metaverse

• A collaboration with Budlight 

• A GoblinGirlz side project

Buy the rumor, sell the news

The power of this project has been fueled by rumors which is easily one of the fastest ways to drive up hype in an NFT ecosystem. Rumors are created by a community, not a project, which is exactly what happened with goblins. The community started spreading the belief that Yuga Labs was associated with the goblins, leading to an elevated floor price - buying the rumor.

When rumors start to spread, people get excited and want to buy in hoping that the rumors are confirmed as true. When that confirmation hits, traders use that moment to flip their tokens for profit - selling the news.

Goblintown.wtf is a prime example of why it is important for traders to take the time to become familiar with communities through Twitter and Discord because rumors are not spread on mainstream platforms. They are unofficial thoughts that can only be found directly inside a community. 

Join a Community

Don’t be a stranger. Take the time to know the different NFT communities. Many of them are welcoming and can offer valuable bits of information which aren’t possible to find anywhere else. 

You can join the BCCN3 Discord here.