Machi Big Brother sells Bored Ape for 94 percent loss to fund leverage trades
The trader sold Bored Ape Yacht Club #2894 for 7.3 ETH five years after purchasing the NFT for 125 ETH.
Key takeaways
- 1Machi Big Brother sold Bored Ape #2894 for 7.3 ETH, a 94 percent drop from its purchase price.
- 2The trader originally paid 125 ETH for the NFT five years ago during the 2021 market peak.
- 3The sale realised a loss of 117.7 ETH, worth approximately $204,000.
Jeffrey Huang, the crypto trader known as Machi Big Brother, sold Bored Ape Yacht Club #2894 for 7.3 ETH, realising a loss of 117.7 ETH. On-chain data shows the sale follows a five-year holding period after Huang originally purchased the digital collectible for 125 ETH. The transaction represents a decline of more than 94 percent in the asset's value when measured in ether.
The sale appears to be a move to liquidate assets for active market positions. On-chain data indicates the proceeds from the NFT sale were intended to raise capital for high-leverage trading. The loss on this specific asset totals approximately $204,000 based on the market value of the ether involved in the transaction.
Bored Ape Yacht Club is a collection of 10,000 unique NFTs on the Ethereum blockchain that became a symbol of the digital art boom in 2021. Huang has been one of the most prolific traders in the collection, often moving large volumes of high-value NFTs. During the market peak five years ago, when Bitcoin reached its then-record of $69,000, Bored Apes frequently sold for hundreds of thousands of dollars as celebrity interest drove prices to record levels.
The liquidation shows the gap between current NFT market prices and the valuations seen during the 2021 bull run. Traders are moving liquidity out of illiquid digital collectibles to fund more active strategies in the broader crypto market. Observers will watch whether other large-scale collectors follow this pattern of accepting heavy losses on blue-chip NFTs to chase returns in liquid assets.
Reported and edited by the YourKhabri desk under our editorial policy. Nothing here is investment advice.